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10.1016/j.econlet.2020.109302

http://scihub22266oqcxt.onion/10.1016/j.econlet.2020.109302
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suck abstract from ncbi


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pmid32546878      Econ+Lett 2020 ; 193 (ä): 109302
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  • Forecasting US recessions: The role of economic uncertainty #MMPMID32546878
  • Ercolani V; Natoli F
  • Econ Lett 2020[Aug]; 193 (ä): 109302 PMID32546878show ga
  • This letter highlights the role of macroeconomic and financial uncertainty in predicting US recessions. In-sample forecasts using probit models indicate that the two variables are the best predictors of recessions at short horizons. Macroeconomic uncertainty has the highest predictive power up to 7 months ahead and becomes the second best predictor - after the yield curve slope - at longer horizons. Using data up to end-2018, out-of-sample forecasts show that uncertainty has significantly contributed to lower the probability of a recession in 2019, which indeed did not occur.
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