Which of the Following Statements About Moving Averages Is Not

question 52

Multiple Choice

Which of the following statements about moving averages is not true?

• A) It can be used to smooth a series.
• B) It gives equal weight to all values in the computation.
• C) It is simpler than the method of exponential smoothing.
• D) It gives greater weight to more recent data.

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Definitions:

Inflation Rate

The percentage increase in the general level of prices for goods and services over a certain period of time.

Rational Expectations School

A theory in economics that suggests individuals make decisions based on their rational outlook, available information, and past experiences.

Fixed-growth Rate

A constant percentage rate at which a variable, such as an economy or a population, grows over a specified period of time.

Monetary Policy

A strategy implemented by a country's central bank to control the money supply, often targeting inflation or interest rates to promote economic stability and growth.