Using the Permanent Income Hypothesis for Forecasting

15 Pages Posted: 15 Nov 2012

See all articles by Peter N. Ireland

Peter N. Ireland

Boston College - Department of Economics; National Bureau of Economic Research (NBER)

Date Written: 1995

Abstract

Milton Friedman’s permanent income hypothesis implies that data on savings help forecast future income growth. An econometric model that exploits this implication predicts that the U.S. economy will continue to expand in 1995.

Suggested Citation

Ireland, Peter N., Using the Permanent Income Hypothesis for Forecasting (1995). FRB Richmond Economic Quarterly, vol. 81, no. 1, Winter 1995, pp. 49-63, Available at SSRN: https://ssrn.com/abstract=2129374

Peter N. Ireland (Contact Author)

Boston College - Department of Economics ( email )

140 Commonwealth Avenue
Chestnut Hill, MA 02467
United States
617-552-3687 (Phone)
617-552-2308 (Fax)

National Bureau of Economic Research (NBER)

1050 Massachusetts Avenue
Cambridge, MA 02138
United States

Do you have a job opening that you would like to promote on SSRN?

Paper statistics

Downloads
51
Abstract Views
481
rank
470,509
PlumX Metrics