Vector autoregressive models should be used for forecasting if the series being studied are cointegrated.
Correct Answer:
Verified
Q15: Two series are said to be cointegrated
Q16: The model: yt = Q17: Which of the following statements correctly identifies Q18: A spurious regression refers to a situation Q19: A process {yt} is a martingale if Q20: In the given AR(1) model, yt = Q21: For 2.5% significance level, the asymptotic critical Q23: Exponential smoothing is a forecasting method where Q24: The R2 calculated in a spurious regression Q25: In calculation of squared forecast errors, an
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents