NOWCASTING PAKISTAN’S GDP VIA NIGHT-TIME LUMINOSITY: A MIDAS REGRESSION APPROACH

Abstract

A new approach suggests that a new method be used in order to make an educated guess of Pakistan's GDP using night time light and regression models. Several countries performances in the economy could be unknown due to Figures globally are very inaccurate.  The deputy chair of the Cabinet Division previously spoke. This capability of timely estimating Gross Domestic Product helps policymakers to make timely economic decisions to changing global economic situation. Why choose GDP Now? Avoid old-fashioned methods. Get immediate estimates right now. The aim of this study is to replace the inequalities present in the global economy utilizing the best of image recognition technology and study models. The MIDAS regression model is a tool used to predict GDP. Data frequencies can be used together in order to determine economic change.  Preliminary findings indicate that the analytical method produces superior predictions to traditional forecasting, making it a far better, highly reliable tool for real time economic monitoring. Researchers are involved in a highly hopeful study meant to improve the accuracy of countries with information deficiencies. With satellites providing new data and sophisticated statistics being used, GDP nowcasts are sure to become more accurate. A timed tool could be highly helpful to policymakers.

Keywords: Nowcasting, GDP, Night-time Luminosity, MIDAS Regression, Satellite Data, Pakistan, Economic Forecasting