I have an aggregate macroeconomic time series variable, which one would expect to grow exponentially. So, in order to forecast it, I use the stationary time series of its growth rate over time. I am looking at the forecast errors of 2020 Q2, Q3 and Q4, to measure the effect of the covid-19 lockdown on aggregate earnings by industry. In my paper, I want to simplify the table I present by showing the cumulative forecast error over Q2–Q4, instead of each quarter's growth rate forecast error.

Can I add up the standard errors from each quarter, cumulatively?


Your Answer

By clicking “Post Your Answer”, you agree to our terms of service, privacy policy and cookie policy

Browse other questions tagged or ask your own question.