Econometrics Questions

Higher-order polynomial functions can be estimated also. The '________________' trend model allows for two changes in the direction of a series.

The exponential trend model is attractive when the expected increase in the series gets '__________________" over time.

When making forecasts in an exponential model It is advisable to use what type of values for making forecasts?Estimated valuesSample valuesRounded valuesUnrounded values

Although a linear relationship can be adequate, there are many cases in which a nonlinear functional form is more suitable. Which of the following are trend models that use a nonlinear functional form? Select all that apply!Smoothing modelQuadratic trend modelCubic trend modelExponential trend model

What type of analysis extracts long-term upward or downward movements of time series?TrendSmoothingMovingCyclic

Which of the time series methods shows repetitions over a one-year period. For example, every year, sales of retail goods increase during the holiday season, and the number of vacation packages sold goes up during the summer?Seasonal componentRandom componentTrend componentCyclic component

Smoothing techniques are employed to reduce the effect of random fluctuations. Which of the following are two distinct smoothing techniques discussed in the book?Regression techniqueAveraging techniqueSimple exponential smoothingMoving average technique

The linear trend model is used for a time series that is expected to grow by a '____________' amount each time period.

Whereas the moving average technique weighs all recent observations equally, the method called simple exponential smoothing assigns exponentially decreasing weights as the observations get '______________________'.

'_______________________' forecasting methods are based on the judgment of the forecaster, who uses prior experience and expertise to make forecasts.

In-sample and out-of-sample criteria are based on the forecast '_________________________'.

Forecasting smoothing techniques are used when the time series represent '____________________' fluctuations with no discernible trend or seasonal fluctuations.

A '___________________' series is a sequence of observations that are ordered in time.

With seasonal data, we estimate a linear trend model that also includes '_________________' variables to capture the seasonal variations.

Select all that applyWhich of the following is true of qualitative forecast methods? Select all that apply!Multiple select question.Useful to forecast variables, such as product sales and product defectsUseful when historical numerical data is availableUsed when future results are suspected to depart markedly from results in prior periodsAttractive when historical data are not available