Two Forecasting Models Were Used to Predict the Future Values

question 6

Short Answer

Two forecasting models were used to predict the future values of a time series. The forecasts are shown below with the actual values.
Calculate the mean squared deviation (MSD) for Model 1.

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Definitions:

Perceptual Selection

The process by which individuals screen and select various stimuli in their environment to process and interpret.

Internal Factor

Elements or forces within an individual, such as personal skills, emotions, or beliefs, that influence their actions or decisions.

Pollyanna Principle

A tendency for people to remember pleasant items more accurately than unpleasant ones.

Pleasant Stimuli

stimuli that are enjoyable or satisfying to experience, often invoking a positive emotional response.