Large values of the Durbin-Watson d statistic indicate that positive autocorrelation among the forecast errors exists.

Question

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The Durbin-Watson d statistic is used to detect the presence of autocorrelation in the residuals from a regression analysis. A value close to 2 suggests no autocorrelation, while values deviating significantly from 2 indicate positive or negative autocorrelation, with values less than 2 suggesting positive autocorrelation and values greater than 2 suggesting negative autocorrelation.

Large Values of the Durbin-Watson D Statistic Indicate That Positive