International journal of forecasting

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Reference no: EM133081238

International Journal of Forecasting

Is Google Trends data cross-section or time series?

Read Sections 1 and 2 of the following paper the PDF copy of which is available in the same folder as this assignment: D'Amuru, F.D. and J. Macucci (2017), "The Predictive Power of Google Searches in Forecasting US Unemployment," , 33, 801-816. Use this paper, in conjunction with the Lesson 1 PowerPoint slides, to answer the following questions.

  1. Why does Google Trends data lie between 0 and 100?
  2. Suppose that a researcher conducts Google Trends analysis of unemployment in Canada using two keywords: "unemployment benefits" and "jobs". Suppose that the Google Trends Search Volume Index for "unemployment benefits" is 80 and that  for "jobs" is 90 which keyword is more popular? Explain.
  3. State one possible limitation of Google Trends data.

Reference no: EM133081238

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