Question
An analyst wanted to forecast exchange between USD/MXN. He collected the following information: Months CPI-DC CPI-FC St 2013:09 120.2 122.78 2013:10 122.4 132.32 1.514463 2013:11
An analyst wanted to forecast exchange between USD/MXN. He collected the following information:
| Months | CPI-DC | CPI-FC | St |
| 2013:09 | 120.2 | 122.78 |
|
| 2013:10 | 122.4 | 132.32 | 1.514463 |
| 2013:11 | 123.2 | 136.23 | 1.434309 |
| 2013:12 |
|
| 1.382170 |
Using the PPP model estimate forecast for USD/MXN for November and December 2013
Estimate forecasting error for November and December forecasts.
Calculate Mean Square Error for your forecasts.
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Principles Of Finance
Authors: Scott Besley, Eugene F. Brigham
2nd Edition
003034509X, 9780030345098
