The linear model for long-term trend is: y = $\beta$₀ + $\beta$₁t + $\varepsilon$,where t is the time period.The trend is indicated by: A)$\beta$₀ B) $\beta$₁ C) y D) t

Question

Quizplus · Accepted Answer

The long-term trend is indicated by the term F1F1F1S1βF1F1F10₁t. This is because β (beta) represents the slope of the trend over time, and t is the time period. Option A is incorrect because it only includes the intercept term, which represents the starting point of the trend. Option C is incorrect because y represents the dependent variable, not the trend. Option D is incorrect because t is only part of the equation for the trend, not the overall trend itself.

The Linear Model for Long-Term Trend Is: Y = β\betaβ 0

The Linear Model for Long-Term Trend Is: Y = $\beta$ ₀