Pooling the forecast outcomes from different models has been shown by Makridakis (1989), Clement (1989) and others to improve out-of-sample forecast test statistics beyond any of the individual component techniques. As well as conventional combining, a different approach to forecast combination is also followed in this paper viz. we use a method suggested more recently by Ridley (1997, 1999) in which negatively correlated forecasts are combined to see if this offers improved out-of-sample forecasting performance in property markets.
Wilson, Patrick J., John Okunev, and Patrick J. Wilson. "ENHANCING INFORMATION USE TO IMPROVE PREDICTIVE PERFORMANCE IN PROPERTY MARKETS." In 7th European Real Estate Society Conference. ERES: Conference. Bordeaux, France, 2000.
Section: A5 - Modelling and forecasting National and Regional Property Markets