Which of the following forecasting methodologies is considered a causal forecasting technique?
A) Exponential smoothing
B) Weighted moving average
C) Linear regression
D) Historical analogy
E) Market research

Question

Quizplus · Accepted Answer

Linear regression is a causal forecasting technique as it attempts to establish a relationship between the dependent variable and one or more independent variables to predict future outcomes. Exponential smoothing and weighted moving average are time series forecasting techniques that rely on past data to predict future outcomes. Historical analogy and market research are qualitative forecasting techniques that are based on expert opinions and historical events, respectively.

Which of the Following Forecasting Methodologies Is Considered a Causal