Two Forecasting Models Were Used to Predict the Future Values $\text { Forecast Value } F_{t}$

question 144

Essay

Two forecasting models were used to predict the future values of a time series. These are shown in the following table, together with the actual values. $\text { Forecast Value } F_{t}$$\quad\quad\quad\text { Actual Value } y_{t}$
$\begin{array}{|cc|r|}\hline \text { Model 1 } & \text { Model 2 } \quad&\quad\quad\quad\quad\quad\quad\quad \\\hline 8.2 & 7.7 & 7.6 \\7.8 & 8.5 & 8.2 \\7.0 & 8.5 & 7.6 \\9.6 & 9.0 & 10.3 \\\hline\end{array}$ Compute MAD and SSE for each model to determine which was more accurate.

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Definitions:

Water Pollution

The contamination of water bodies (e.g., lakes, rivers, oceans, aquifers) by harmful substances or heat, negatively affecting aquatic ecosystems and human health.

Agricultural Chemicals

Substances such as fertilizers, herbicides, and pesticides used in farming to enhance plant growth and protect crops from pests and diseases.

Sediment

Particulate matter that settles at the bottom of a liquid or is transported by water, wind, or ice.

Waterlogging

The saturation of soil with water, usually due to excessive rain or irrigation, which can lead to reduced oxygen availability for plants.