Each has its own set of benefits and disadvantages. For example, we have the higher frequency autoregressive integrated moving average (ARIMA) models which are useful for short-term forecasts but are incapable of predicting a turning point since they are essentially based on their own historic trends.
The structural multiequation models such as the South African Reserve Bank’s core econometric model is more suited for policy analysis and forecasting since it incorporates behavioural relationships between the key variables of the model.