The Time-Series Model Y_t = T_t * C_t *S_t $\tilde { T} _ { 1}$

question 25

Multiple Choice

The time-series model y_t = T_t * C_t *S_t * R_t is used for forecasting,where T_t,C_t,S_t,and R_t are respectively the trend,cyclical,seasonal,and random variation components of the time series,and y_t is the value of the time series at time t.The following estimates are obtained: $\tilde { T} _ { 1}$ = 120, $\tilde { C } _ { t }$ = 1.02, $\tilde { S } _ { t }$ = 0.95,and $\hat { R } _ { 2 }$ = 0.90.The model will produce a forecast of:

• A) 122.870
• B) 104.652
• C) 116.280
• D) 102.600

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GDP

Gross Domestic Product, a measure of the economic performance of a country, calculated by adding up all market values of goods and services produced within the country in a year.

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Financial resources transferred between countries by private sector entities through direct investments, portfolio investments, and other forms of capital movements.

Direct Foreign Investment

An individual or company from one nation investing in business interests or assets in a different country, which includes starting up operations or buying business holdings.

International Finance Corporation

A member of the World Bank Group focused on private-sector development in less developed countries.