DP2206 Fiscal Forecasting: the Track Record of the IMF, OECD, and EC

Author(s): Michael J Artis, Massimiliano Marcellino
Publication Date: August 1999
Keyword(s): fiscal forecasting, forecast encompassing
JEL(s): C53, E17, H62
Programme Areas: International Macroeconomics
Link to this Page: cepr.org/active/publications/discussion_papers/dp.php?dpno=2206

We analyse the relative performance of the IMF, OECD and EC in forecasting the government deficit, as a ratio to DGP, for the G7 countries. Interesting differences across countries emerge, sometimes supporting the hypothesis of an asymmetric loss function (i.e., of a preference for underprediction or overprediction), and potential benefits from forecast pooling.