In regression analysis,extrapolation is performed when you
A)attempt to predict beyond the limits of the sample.
B)have to estimate some of the explanatory variable values.
C)have to use a lag variable as an explanatory variable in the model.
D)do not have observations for every period in the sample.

Question

Quizplus · Accepted Answer

Extrapolation in regression analysis refers to the process of making predictions or inferences about the value of the dependent variable for points outside the range of the explanatory variables covered by the sample data. It involves extending the regression model beyond the limits of the observed data.

In Regression Analysis,extrapolation Is Performed When You