Forecasting the Real GDP of United Kingdom, Germany and France in Next Three Years
Gross Domestic Product (GDP) has been drawn much attention by people because GDP could show the finance situation of a country. Therefore, this study employs the Auto Regressive Integrated Moving Average (ARIMA) model to forecast the real GDP of United Kingdom, Germany, and France for the next three years (2025-2027). Utilizing quarterly real GDP data from 2015 to 2024, the paper identifies optimal ARIMA parameters () for each country and analyzes the implications of the forecasted trends. This study demonstrates the model's effectiveness in capturing economic trends through its interpretable structure and reliable differencing approach. The study also explores the limitations of ARIMA, such as its linearity assumption, and discusses the potential of integrating machine learning (ML) techniques to enhance forecasting accuracy in economic applications. The results indicate varying economic trajectories for the three nations, with policy and external factors like geopolitical events and post-pandemic recovery influencing outcomes. This work promises to be a reference for these countries.
Authors
- Dingshan Cao
Publication Details
- Journal
- Theoretical and Natural Science
- Published
- 2025-05-23
- DOI
- https://doi.org/10.54254/2753-8818/2025.gl23169
- Primary Topic
- German Economic Analysis & Policies
- Type
- article
- Field-Weighted Citation Impact
- 0.00