Economic Forecasting

What Does Economic Forecasting Mean?
The process of attempting to predict the future condition of the economy. This involves the use of statistical models utilizing variables sometimes called indicators. Some of the most well-known economic indicators include inflation and interest rates, GDP growth/decline, retail sales and unemployment rates.

Investopedia explains Economic Forecasting
While economic forecasting is not an exact science, it remains an important decision-making tool for businesses and governments as they formulate financial policy and strategy.

Related Terms

Coincident Indicator
Economic Indicator
Economics
Economy
Lagging Indicator
Leading Indicator
Macroeconomics
Unemployment Rate
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Related Links

Economic Indicators To Know - The economy has a large impact on the market. Learn how to interpret the most important reports.
Understanding The Consumer Confidence Index - We look at this closely watched economic indicator to see what it means and how it's calculated.
Macroeconomic Analysis - From unemployment and inflation to government policy, learn what macroeconomics measures and how it affects everyone.
Formulating Monetary Policy - Learn about the tools the Fed uses to influence interest rates and general economic conditions.
Understanding Supply-Side Economics - Does the amount of goods and services produced set the pace for economic growth? Here are the arguments.
The History Of Economic Thought - Discover the theories that shaped the way we've come to understand economics.
Listen To The Market, Not Its Pundits - Tuning in to pundits is fine, but investors should rely on their own research when making important decisions.

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