Unit root processes, such as a random walk (with or without drift), are said to be:
A)integrated of order one.
B)integrated of order two.
C)sequentially exogenous.
D)asymptotically uncorrelated.

Question

Unit root processes, such as a random walk (with or without drift), are said to be:​
A)​integrated of order one.
B)​integrated of order two.
C)​sequentially exogenous.
D)​asymptotically uncorrelated.

Quizplus · Accepted Answer

Unit root processes, such as a random walk, are integrated of order one, meaning they require one level of differencing to become stationary.

Unit Root Processes, Such as a Random Walk (With or Without