Briefly describe the following tasks of macroeconomists: forecasting; analysis; research; and data development
What will be an ideal response?
(a) Forecasting. Macroeconomists develop models to predict the future values of macroeconomic variables in one or more markets. These models are usually based on economic theory but are statistical in form and estimated using macroeconomic data.
(b) Analysis. Macroeconomists analyze changes in macroeconomic policies as well as other changes in macroeconomic market conditions. This analysis is based on economic theory, uses analytic reasoning techniques, and may rely on forecasting models.
(c) Research. The goal of macroeconomic research is to make general statements about how the economy works. Research economists formulate and test theories.
(d) Data development. Macroeconomic data development provides the data needed in macroeconomic research, analysis, and forecasting. Most macroeconomic data are collected and published by the government.
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To make rational forecasts, your predictions do not have to be correct all of the time
a. True b. False Indicate whether the statement is true or false
The two most comprehensive, widely accepted macroeconomic models are
A. the Austrian model and the Keynesian model. B. the supply-side model and the real business cycle model. C. the classical model and the Keynesian model. D. the classical model and the supply-side model.