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From twitter to GDP: Estimating economic activity from social media

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  • Indaco, Agustín

Abstract

Using all geo-located image tweets shared on Twitter in 2012–2013, I find that the volume of tweets is a valid proxy for estimating GDP at the country level, explaining 78 percent of cross-country variations. I also exploit the geographic granularity of social media posts to estimate and predict GDP at the sub-national level. I find that tweets alone can explain 52 percent of the variation in GDP across cities in the US. Estimates using Twitter data perform on par with the more common night-lights proxy. Furthermore, both indicators seem to capture different aspects of economic activity and thus complement each other.

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  • Indaco, Agustín, 2020. "From twitter to GDP: Estimating economic activity from social media," Regional Science and Urban Economics, Elsevier, vol. 85(C).
    • Handle: RePEc:eee:regeco:v:85:y:2020:i:c:s0166046220302763
    DOI: 10.1016/j.regsciurbeco.2020.103591
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    Cited by:

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    2. Shane Greenstein, 2020. "Digital Infrastructure," NBER Chapters, in: Economic Analysis and Infrastructure Investment, pages 409-447, National Bureau of Economic Research, Inc.
    3. Ahlfeldt, Gabriel M. & Barr, Jason, 2022. "Viewing urban spatial history from tall buildings," Regional Science and Urban Economics, Elsevier, vol. 94(C).
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    5. Ahlfeldt, Gabriel M. & Gobillon, Laurent, 2021. "Introduction to the Special issue: “Emerging Trends in Urban Economics”," Regional Science and Urban Economics, Elsevier, vol. 90(C).

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    More about this item

    Keywords

    Social media data; Big data; Cities; Satellite images; National accounts;
    All these keywords.

    JEL classification:

    • C53 - Mathematical and Quantitative Methods - - Econometric Modeling - - - Forecasting and Prediction Models; Simulation Methods
    • C55 - Mathematical and Quantitative Methods - - Econometric Modeling - - - Large Data Sets: Modeling and Analysis
    • E01 - Macroeconomics and Monetary Economics - - General - - - Measurement and Data on National Income and Product Accounts and Wealth; Environmental Accounts
    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development

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