Abstract
This paper investigates the predictive ability of brand new dataset which is based on big unstructured data published by the UK Office for National Statistics as “Faster Indicators of UK Economic Activity”. We consider some indicative ways to be used in macroeconomic nowcasting. Even though ONS confirm that the newly introduced big data-based indicators are not constructed with forecasting purposes in mind, and the applied researcher should be cautious when using them in this way, a simple out-of-sample nowcasting exercise reveals partial evidence that this dataset has some predictive power over GDP growth. Our results, which show a positive and encouraging first step towards the utilisation of this type of data, suggest that national statistics agencies should allocate more resources in constructing big data-based databases.
Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
