# Can Okun's Law be used for forecasting?

Can one forecast $\Delta Unemployment$ and $\Delta Inflation$ using a VAR model based on Okun's law?

• I'm currently working on that, but my main goal is structural analysis. I want to go further in predicting the path dependence of unemployment and I've been reading about Arma process mixed with neural networks that shows a good grade of accuracy. I hope this help in some way – Diego Garcia Rieckhof Dec 21 '17 at 13:18
• Is there a reason you think you couldn't? I popped "okun var" into Google scholar and there were all sorts of published results. – Jeff Dec 21 '17 at 16:20