So, instead of relying on just one model to produce the Monetary Policy Committee (MPC) forecast, we employ a large variety of different models. Also, since the structures of the various models are diverse, each one is capable of telling a different story.
The suite-ofmodels approach has the added advantage of taking some degree of model uncertainty into account by taking all relevant and potentially-important information into consideration. BIS Review 67/2009  1  There are essentially two different types of models. The first is the structural macroeconomic type of model which includes the traditional multi-equation model, and the second is a shortterm time series forecast model.