On Building Economic Development Patterns for Russia and Belorussia on the Basis of LAM-3 Econometric Model

Abstract

The article deals with the results of econometric model building for Russian and Belorussian economic development using the LAM-3 methodology. LAM-3 is the most recent version of the Long-run Adjustment Model that is used for quarter-to-quarter modeling and forecasting to show the economic development of countries in Eastern Europe. The principles upon the LAM-3 models are built and the problems associated with the model-building processes are discussed. The models are used to depict the Russian and Belorussian economies in transition. The article describes the GIRAF software developed to be used in the LAM-3 series models and to assess the level of accuracy of the forecasts made for the economies of Russia and BelorussiaEconometric Modeling; Forecasting; Long-run Adjustment; Simulation; Transition Economy of Russia and Belarus