The Craft of Economic Modeling

At every step of the way, the reader sees results of calculations with real data and is urged to estimate his or her own equations with real, up-to-date data. Most of the book uses the relatively simple U.S. One method which has worked better than others is explained and the results of its estimation in four countries are presented and compared. Although here the model actually built is a tiny one of 8-sectors with made-up data, the methods employed are exactly those of the Inforum models used in a number of countries around the world. It assumes no prior acquaintance with econometrics or computer programming, but does assume a willingness to follow a mathematical argument. National Income