Tag Archives: news topics

Are narratives associated with economic fundamentals or better understood as capturing the market’s animal spirits?

L og Vav Leif A. Thorsrud og Vegard H. Larsen, forskningsenheten, Norges Bank.

This is the last blog post, in a series of three, where we use text as data and take a narrative perspective to describe and understand business cycle fluctuations. In the preceding posts we have shown how a topic decomposition of economic news could be used to track the business cycle in the US, Japan, and euro area, and we have investigated whether or not narratives relevant for growth go viral. Continue reading