Accounting Earnings and Gross Domestic Product

By Yaniv Konchitchki, Panos N. Patatoukas. 2014

206 citations recorded by the source corpus.

We document that aggregate accounting earnings growth is an incrementally significant leading indicator of growth in nominal Gross Domestic Product (GDP). Professional macro forecasters, however, do not fully incorporate the predictive content embedded in publicly available accounting earnings data. As a result, future nominal GDP growth forecast errors are predictable based on accounting earnings data that are available to professional macro forecasters in real time.

Subfields: Economics and Econometrics, Finance

View Paper: https://www.semanticscholar.org/paper/8aba38c2f8cd0789175f8bd7dbbe649da6f34c8b

How researchers see this paper

The researchers whose trusted networks rank it highest, strongest advocate first. Every researcher gets a different order.

In Economics and Econometrics

1. Hanlu Niu
2. Zhe Sun
3. Tao Li
4. Pinglin He

In Finance

1. Hanlu Niu
2. Zhe Sun
3. Tao Li
4. Pinglin He

Citations in the corpus

• Accounting Index of COVID-19 Impact on Chinese Industries: A Case Study Using Big Data Portrait Analysis (2020, background): “Konchitchki and Patatoukas (2014) pointed out that accounting information is the main driver of macroeconomic growth. They show that accounting information does not only affect stock prices and monetary policy, it also predicts gross domestic product (GDP) growth. Luo, Zeng, and Fang et al. (2016) u”