The ________ component of a time series measures the fluctuations in a time series due to economic conditions of prosperity and recession with a duration of approximately 2 years or longer.
A)trend
B)seasonal variation
C)cycle
D)irregular component
E)random

Question

Quizplus · Accepted Answer

The cycle component of a time series measures the fluctuations in the time series over a longer duration, typically 2 years or longer, due to economic conditions of prosperity and recession. The trend component measures the long-term direction of the time series, the seasonal variation component measures the fluctuations due to seasonal factors, the irregular component measures the random fluctuations that cannot be explained by other components, and the random component is unpredictable and cannot be explained by any of the other components.

The ________ Component of a Time Series Measures the Fluctuations