Heinisch, Katja; Scaramella, Fabio; Schult, Christoph - Leibniz-Institut für Wirtschaftsforschung Halle - 2025
Accurate macroeconomic forecasts are essential for effective policy decisions, yet their precision depends on the accuracy of the underlying assumptions. This paper examines the extent to which assumption errors affect forecast accuracy, introducing the average squared assumption error (ASAE) as...