Multivariate forecasting

Information

• Multivariate forecasting is a type of time series forecasting that involves predicting multiple variables simultaneously.
• This approach uses the relationships and dependencies between the variables to make accurate predictions.
• Multivariate forecasting can be useful in situations where the variables are interdependent and affect each other, making it difficult to predict one variable accurately without considering the others.
• Some common multivariate forecasting techniques include Vector Autoregression (VAR), Vector Error Correction Model (VECM), and Multivariate Adaptive Regression Splines (MARS).
• Multivariate forecasting can be applied in various fields such as finance, economics, weather forecasting, and energy demand forecasting.