Applying a forecasting procedure to obtain an estimate of the current situation or level at the origin. Nowcasting is especially important when data are subject to much error and when short-term forecasts are needed. It is also useful when a model may provide a poor estimate of the level; for example, regression analysis often provides poor estimates of the level at t0 for time-series data. Combined estimates can improve the estimate of the current level. These can draw upon extrapolation, judgment, and econometric models. Such a procedure can help to reduce forecast error, as shown in Armstrong (1970).