Do professional economists' forecasts reflect Okun's law? Some evidence for the G7 countries
Abstract:Using survey data for the G7 countries, we report that professional economists' forecasts of changes in the unemployment rate and the growth rate of real output are consistent with Okun's law. Professional economists do not believe in potential asymmetries in Okun's law over the business cycle. They believe in the classic linear version of Okun's law.
Document Type: Research Article
Affiliations: 1: Department of Economics, Saarland University, Saarbruecken, Germany 2: Department of Economics, WHU-Otto Beisheim School of Management, Vallendar, Germany 3: Europa-Universitat Viadrina, Lehrstuhl VWL, insb. Makrookonomie, Germany
Publication date: April 1, 2011