What are the merits of Lee model?

Answer 1

The Lee model, which often refers to the Lee-Carter model for mortality forecasting, has several merits. It effectively captures the underlying trends and patterns in mortality data by incorporating both age-specific mortality rates and time effects, allowing for better long-term predictions. Its simplicity and flexibility make it accessible for researchers and policymakers, while also accommodating various demographic factors. Additionally, the model's ability to be adapted for different populations enhances its utility across diverse contexts.