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Forecasts that are statistical in nature use historical data to forecast the future. The data are just numbers that resulted from business activities at a particular point in time. The conditions of that time are probably different than what will be in the future. While all trends have historical roots, it is much too simplistic to just extend past trends into the future. There’s something comforting about “predicting the past.” It ignores that marketplaces, in the long term, are dynamic. There is one benefit, however.
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