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Predictive Synthesis under Sporadic Participation: Evidence from Inflation Density Surveys

Matthew C. Johnson, Matteo Luciani, Minzhengxiong Zhang, Kenichiro McAlinn

arXiv 5 Feb 2026 · Statistics — Applications

arXiv:2602.05226 · PDF · DOI · OpenAlex · Extracted main text

Abstract

Central banks rely on density forecasts from professional surveys to assess inflation risks and communicate uncertainty. A central challenge in using these surveys is irregular participation: forecasters enter and exit, skip rounds, and reappear after long gaps. In the European Central Bank's Survey of Professional Forecasters, turnover and missingness vary substantially over time, causing the set of submitted predictions to change from quarter to quarter. Standard aggregation rules -- such as equal-weight pooling, renormalization after dropping missing forecasters, or ad hoc imputation -- can generate artificial jumps in combined predictions driven by panel composition rather than economic information, complicating real-time interpretation and obscuring forecaster performance. We develop coherent Bayesian updating rules for forecast combination under sporadic participation that maintain a well-defined latent predictive state for each forecaster even when their forecast is unobserved. Rather than relying on renormalization or imputation, the combined predictive distribution is updated through the implied conditional structure of the panel. This approach isolates genuine performance differences from mechanical participation effects and yields interpretable dynamics in forecaster influence. In the ECB survey, it improves predictive accuracy relative to equal-weight benchmarks and delivers smoother and better-calibrated inflation density forecasts, particularly during periods of high turnover.

Citation extraction

28
references
35
in-text mentions
28
distinct cited
5
self-citations
12,513
main-text words

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Most heavily cited references

The works this paper leans on most, across its whole bibliography — not restricted to papers in our corpus. Ranked by composite intensity, which combines how often a work is mentioned, how many sections mention it, and how much of that falls in the main text rather than the appendix.

ReferenceIntensityMentionsSectionsMain text
1McAlinn, Kenichiro and West, Mike (2019) Dynamic Bayesian predictive synthesis in time series forecasting self1.00053100%
2V. Genre and G. Kenny and A. Meyler and A. Timmermann (2013) Combining expert forecasts: Can anything beat the simple average?0.64422100%
3McAlinn, Kenichiro (2021) Mixed-frequency Bayesian predictive synthesis for economic nowcasting self0.64422100%
4J. F. Geweke and G. G. Amisano (2011) Optimal prediction pools0.51121100%
5K. A. Aastveit and K. R. Gerdrup and A. S. Jore and L. A. Thorsrud (2014) Nowcasting GDP in real time: A density combination approach0.40511100%
6G. G. Amisano and R. Giacomini (2007) Comparing density forecasts via weighted likelihood ratio tests0.40511100%
7J. M. Bates and C. W. J. Granger (1969) The combination of forecasts0.40511100%
8M. Billio and R. Casarin and F. Ravazzolo and H. K. van Dijk (2012) Combination schemes for turning point predictions0.40511100%
9Chernis, Tony and Koop, Gary and Tallman, Emily and West, Mike (2024) Decision synthesis in monetary policy0.40511100%
10R. T. Clemen (1989) Combining forecasts: A review and annotated bibliography0.40511100%

Showing the top 10 of 28 scored citations.