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A comparison of two alternative composite leading indicators for detecting Japanese business cycle turning points

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  • Hiroshi Yamada
  • Syuichi Nagata
  • Yuzo Honda

Abstract

The Organisation for Economic Cooperation and Development (OECD) has developed a system of Composite Leading Indicators (CLIs) for its member countries. On the other hand, the Japanese government has released another CLI for detecting the Japanese business cycle turning points. Both CLIs are widely used alternatives. These two CLIs may provide different business forecasts. When different forecasts occur, how can we interpret the discrepancies? This article tries to answer this question by clarifying their relationships.

Suggested Citation

  • Hiroshi Yamada & Syuichi Nagata & Yuzo Honda, 2010. "A comparison of two alternative composite leading indicators for detecting Japanese business cycle turning points," Applied Economics Letters, Taylor & Francis Journals, vol. 17(9), pages 875-879.
    • Handle: RePEc:taf:apeclt:v:17:y:2010:i:9:p:875-879
    DOI: 10.1080/13504850802570384
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