After Estimating a Trend Model for Annual Time-Series Data,you Obtain

question 132

Multiple Choice

After estimating a trend model for annual time-series data,you obtain the following residual plot against time. The problem with your model is that

• A)the cyclical component has not been accounted for.
• B)the seasonal component has not been accounted for.
• C)the irregular component has not been accounted for.
• D)the trend component has not been accounted for.

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Definitions:

Future Location

Refers to a place where something is expected or planned to be situated at a later time.

Economic Generalizations

General statements that summarize common relationships or patterns within an economy, often derived from empirical observations and economic theory.

Purposeful Behavior

Actions taken with intention and goal-directed motivation, often considered in economic theory as rational choice.