Skip to Main Content

Economic Quarterly

Winter 1995

Using the Permanent Income Hypothesis for Forecasting

Peter N. Ireland

Milton Friedman’s permanent income hypothesis implies that data on savings help forecast future income growth. An econometric model that exploits this implication predicts that the U.S. economy will continue to expand in 1995.

Subscribe to Economic Quarterly

Receive an email notification when Economic Quarterly is posted online:

phone Contact Us

Lisa Kenney (804) 697-8179