A VAR with K Time Series Variables Consists of

question 13

Multiple Choice

A VAR with k time series variables consists of

• A)k equations, one for each of the variables, where the regressors in all equations are lagged values of all the variables
• B)a single equation, where the regressors are lagged values of all the variables
• C)k equations, one for each of the variables, where the regressors in all equations are never more than one lag of all the variables
• D)k equations, one for each of the variables, where the regressors in all equations are current values of all the variables

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Definitions:

Pump Division

A specialized unit within a company focused on the manufacture and sale of pumps.

Valve Division

A segment within a company that specializes in the production and sale of valves.

Net Operating Income

A company's income after operating expenses have been deducted but before income taxes and interest are subtracted.

Wheel Sets

Components consisting of a wheel and axle assembly used in various applications, notably in vehicles and machinery.