Question

Is a 5-Year Forecast (Master Plan) practical in the context of current historical trends, dynamics, and complexities? Yes, or No. Please explain your rationale for your answer.

Answer 1

The 5-year forecast plan is not practical in the context of the current events. dynamics and complexities. The following are the three key reasons for this plan not being practical.

• The emergence of COVID-19 lead to severe effect on the global economy and since there is neither cure nor vaccine is available for it, it's the further effect on the economy is unprecedented.
• The five-year forecast is done on the basis of several variable analyses however looking at the difference of correlation between the historic trends of major variables and their current trend it is highly unlikely that a 5-year forecast will be done accurately.
• Governments across the globe are cutting spending on various sectors and accomodating it for COVID-19 relief fund hence the 5-year forecast done currently may get affected in the future due to such steps from government and hence accuracy of the five-year forecast will be pretty low.