If you use a times series data set with 100 years worth of data to estimate a distributed lag model of order 5,how many observations will you have for estimation?
A)100
B)5
C)95
D)105

Question

Quizplus · Accepted Answer

When estimating a distributed lag model of order 5, you lose 5 observations because the model requires 5 previous observations to estimate the first value. Therefore, from 100 years of data, you will have 95 observations for estimation.

If You Use a Times Series Data Set with 100