We consider combinations of subjective survey forecasts and model-based forecasts from linear and non-linear univariate specifications as well as multivariate factor-augmented models. Empirical results suggest that a simple equal-weighted average of survey forecasts outperform the best...

We consider combinations of subjective survey forecasts and model-based forecasts from linear and non-linear univariate specifications as well as multivariate factor-augmented models. Empirical results suggest that a simple equal-weighted average of survey forecasts outperform the best...

It is shown that when the Central Bank manages the interest rate differential through standard interventions, aimed at offsetting exogenous disturbances in the foreign exchange market, and agents do not observe the current state of policy, then a Markov switching regimes representation is...