Author : Mr.Jesus Gonzalez-Garcia
Publisher : International Monetary Fund
ISBN 13 : 1451871570
Total Pages : 22 pages
Book Rating : 4.4/5 (518 download)
Book Synopsis Benford’s Law and Macroeconomic Data Quality by : Mr.Jesus Gonzalez-Garcia
Download or read book Benford’s Law and Macroeconomic Data Quality written by Mr.Jesus Gonzalez-Garcia and published by International Monetary Fund. This book was released on 2009-01-01 with total page 22 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper examines the usefulness of testing the conformity of macroeconomic data with Benford's law as indicator of data quality. Most of the macroeconomic data series tested conform with Benford's law. However, questions emerge on the reliability of such tests as indicators of data quality once conformity with Benford's law is contrasted with the data quality ratings included in the data module of the Reports on the Observance of Standards and Codes (data ROSCs). Furthermore, the analysis shows that rejection of Benford's law may be unrelated to the quality of statistics, and instead may result from marked structural shifts in the data series. Hence, nonconformity with Benford's law should not be interpreted as a reliable indication of poor quality in macroeconomic data.