Estimating Investment Functions for a Small-Scale Econometric Model
AbstractThis note summarises the results of an exercise in estimating investment functions for inclusion in a small-scale econometric model of the economy. The overall exercise in model-building is a joint project involving three staff from Economic Analysis, Research and Publications. Its aim is to produce a small-scale model of the economy with reasonably good forecasting and policy simulation properties. One of the main difficulties with previous versions of the model and, indeed, with some other models of the Irish economy is their relatively unsatisfactory modelling of investment. The estimated equations generally have poor fit compared to other areas of the model resulting in rather large forecast errors and undermining confidence in policy simulations.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by Central Bank of Ireland in its series Research Technical Papers with number 1/RT/96.
Length: 44 pages
Date of creation: Feb 1996
Date of revision:
You can help add them by filling out this form.
reading list or among the top items on IDEAS.Access and download statisticsgeneral information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Richard Smith).
If references are entirely missing, you can add them using this form.