Forecasts of economists have.....1. overestimated inflation
2. underestimated inflation
3. generally been accurate on inflation
4. been less accurate than forecasts of economic growth
5. been as accurate as those for economic growth
To determine the answer to this question, we need to analyze economists' forecasts of inflation over a certain period of time. Statistical data comparing these forecasts with the actual inflation rates can provide insights into the accuracy of their predictions. Here's how you can find the answer:
1. Look for academic studies or research papers that analyze economists' inflation forecasts. These studies often provide an overview of the accuracy of these predictions. Online databases like JSTOR, Google Scholar, or academic journals could be helpful in finding relevant articles.
2. Once you have found the research, carefully analyze the findings to determine whether economists' forecasts of inflation have overestimated, underestimated, or been accurate overall. Pay attention to the specific time periods and sample sizes used in the analysis.
3. Look for specific statistics or measures provided by the research. For example, you may find information on the average margin of error or the percentage of accurate forecasts.
4. Consider comparing the accuracy of economists' inflation forecasts with their forecasts of economic growth. Look for studies or data that directly compare the accuracy of these two types of predictions. This comparison will help answer whether economists are more accurate in forecasting inflation or economic growth.
By following these steps and examining the available research and data, you can determine whether economists' forecasts of inflation have overestimated, underestimated, or been accurate overall, as well as how they compare with their forecasts of economic growth.