‘Economic Indicator Smoothing’™ Economic Record Smoothing -

For all international economies, economic decisions are easier to make when the income series is stable or can be represented in a stable format where it is otherwise volatile.

For simplicity, the simple formula, following will achieve the required income smoothing or averaging:

The Economics Trend Formula

(1) Economic Rate = E

(2) HV = number of years of historical value

(3) i = 10, unless otherwise declared as an alternative natural number count

(4) n = [ natural number ]

(5) n <= 3

To estimate the future for an economic rate, simply calculate the product of the indicator and the number of years of the future time period as follows.

(6) E [ rP ] = E [ rH ] / i

(7) E [ rF ] = E [ rP ] / n

An economic rate may be the Consumer Price Index (CPI), among many other common economic indicators of rate of change.

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