A Second-Order Autoregressive Model for Average Mortgage Rate Is

question 89

Short Answer

A second-order autoregressive model for average mortgage rate is:
Rateᵢ = - 2.0 + 1.8(Rate)ᵢ₋₁ - 0.5 (Rate)ᵢ₋₂.
If the average mortgage rate in 2010 was 7.0, and in 2009 was 6.4, the forecast for 2011 is ________.

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The long-term rise in Earth's average surface temperature, primarily due to human activities such as burning fossil fuels.