What are some case studies on forecasting errors?

What are some case studies on forecasting errors?

There are several notable case studies on forecasting errors. One example is the 2008 financial crisis, where many models failed to predict the downturn.

Can you explain why those models failed?

Certainly! Many models relied on historical data that didn't account for unprecedented market behaviors, leading to significant underestimations of risk.

Are there any lessons learned from these errors?

Yes, key lessons include the importance of incorporating a wider range of variables and the need for continuous model validation.

What industries are most affected by forecasting errors?

Industries like finance, supply chain, and healthcare are particularly affected, as inaccurate forecasts can lead to substantial financial losses.