Martin Barnes and a Level Forecasting Field
This week on Masters in Business I sit down with an old fishing buddy -- Martin Barnes, chief economist of BCA Research.
Barnes discusses how a global client base of sovereign wealth funds, hedge funds, pension funds and central banks demands actionable intelligence, whether for an immediate trade or to craft a strategy measured in decades. We also discussed the errors in the Federal Reserve’s forecasting record, and how it levels the playing field for all economic analysts. Barnes, who has worked at BCA for 30 years, explains why the Fed’s models -- indeed, all econometric models based upon the past -- can lead us astray. He also notes that the Fed’s effort to promote transparency has swung too far and that the central bank should act more and talk less.
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