Section ThreeInterestingly, those with low workforce volatility probably
perceive less need for such planning whereas those with high
volatility probably find it ineffective.^36
The trend toward increasing economic turbulence began
during the 1980s and has continued into the twenty-first
century. The level of turbulence also has posed difficulties for
economic fore-casters. Interestingly, economic forecasting,
which thrived during the 1950s and 1960s when conditions
were much more stable, began to lose credibility during the
1980s. By the 1990s, many companies, such as Eastman
Kodak, Citibank, Xerox, and Equitable Life had eliminated their
economic forecasting staffs.^37 This loss of credibility is
illustrated in the results of studies by Stephen McNees:
Stephen McNees... has made a specialty of
comparing economic forecasters’ pre-dictions
against what has actually come to pass. His data
show that the forecasters have made huge errors
around virtually every major recent turning point
of the economy— recessions as well as
recoveries...^38In spite of the decline in credibility of macro-level
economic forecasting, many economic forecasters have made a
successful transition to more micro-level applications, such as