MSc Economics: Nowcasting Model for GDP

MSc internship,

start date by agreement

Do you get energized by building smart data models that predict economic growth even before all figures are in? Do you enjoy diving into data, discovering new data sources, and making a real impact on official GDP estimates with your analyses?
Then this internship in nowcasting and econometrics is exactly what you are looking for.

This is your challenge

In estimating the quarterly GDP figures (economic growth), we currently use a relatively simple method for a number of business sectors: the development of the number of jobs serves as an approximation for economic activity. This is done because direct and timely source information is lacking. A significant consequence of this is that we often have to adjust the initial estimates later when more complete data becomes available for the final estimate (approximately eighteen months later).

It is up to you to improve this methodology.

You will develop a more advanced model with which we can more accurately estimate the economic activity of these business sectors shortly after the reporting period ends. This is also called "nowcasting". The goal is to be closer to the final realization and thus reduce the number and magnitude of later adjustments.

An important part of your assignment is to investigate which data sources are available in a timely manner and can be used as input for this model. Subsequently, you will simulate previous reporting periods using historical data. This way, you can analyze whether your proposed method actually performs better than the current approach, for example, by looking at smaller adjustments.

Finally, you will develop a working production pipeline in R, so that the new method becomes practically applicable within the estimation process.

This is your internship position,

at CBS The Hague

We welcome you to the National Accounts sector, within the Supply and Use Tables team, which consists of over 25 people. The team produces the quarterly and annual estimates of gross domestic product (GDP), and economic growth. We are driven researchers and producers of crucial information, including economic growth, and are continuously looking for improvements.

The national accounts form the official overview statistics of the national economy. National income, economic growth, the government deficit, and the disposable income of households are some important macroeconomic indicators that are determined using the national accounts.

Within our team, there is an open, engaged, and collegial atmosphere. 

Two experienced team members will guide you in this internship assignment.

What you bring

• You are pursuing an economic MSc program with a clear quantitative component.

• You have knowledge of – and preferably some experience with – software development and programming in R.

• You work accurately and structurally, both with data and with code and documentation.

• You are analytically strong and can understand complex issues and critically interpret data.

• You proactively think about improving existing methods and are open to exploring new ideas and techniques.

• You take responsibility for your own work: you plan, organize, and monitor your progress throughout the internship.

As all communication – both oral and written – takes place in Dutch during the internship, a good command of the Dutch language is necessary.

What you can expect from us

A great learning environment where you will:

• Apply your programming and analytical skills in a practice-oriented environment;

• Expand your professional knowledge by collaborating with experienced colleagues;

• Apply your knowledge of econometric and statistical models based on economic indicators in practice;

• Gain valuable work experience for a future career in data analysis or research.

For your contribution, you will receive an internship allowance of € 800,- gross per month (based on 40 hours per week).

Together with your internship supervisor, you will arrange how you can work hybrid, with flexible working hours and the option to work on your internship assignment partly from home.

These are our conditions

This is an internship assignment and not a work experience placement. Before you start the internship, we expect you to have an internship supervisor from your educational institution, with whom the internship has been coordinated and concrete learning objectives have been agreed upon. This internship assignment is intended for students who are currently enrolled at an educational institution; graduates are not eligible.