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Belgian economic policy uncertainty index: Improvement through text mining

Ellen Tobback,Hans Naudts,2 Authors,David Martens

2016 · DOI: 10.1016/j.ijforecast.2016.08.006
63 Citations

TLDR

It is argued that the original setup is prone to measurement error, and an alternative methodology using text mining techniques is proposed, which has a higher predictive power and can predict changes in the level of policy uncertainty during tumultuous periods of high uncertainty and risk.