A method of forecasting that best describes the flows from one sector of the economy to another is called:
A)Regression
B)Econometric model
C)Input-output model
D)Simulation model

Question

Quizplus · Accepted Answer

The input-output model is specifically designed to capture the flows of goods, services, and money between different sectors of the economy. This type of model is useful for forecasting how changes in one sector will impact other sectors, and for predicting the overall impact of certain policies or economic shocks. Regression, econometric, and simulation models may also be helpful in some contexts, but they are not specifically tailored to the task of modeling sector-to-sector flows.

A Method of Forecasting That Best Describes the Flows from One