What is the model whose equations are estimated using statistical procedures used in forecasting interest rates called?
A)econometric model
B)liquidity preference framework
C)market equilibrium
D)Fisher effect

Question

Quizplus · Accepted Answer

The econometric model is a statistical tool used to estimate relationships between economic variables, in this case, the relationship between interest rates and other economic factors. The model is estimated using statistical procedures, and the resulting equations can be used to forecast future interest rates. The liquidity preference framework, market equilibrium, and Fisher effect are all theories or concepts related to interest rates, but they do not refer specifically to the statistical modeling process used to forecast them.

What Is the Model Whose Equations Are Estimated Using Statistical