The components of a time series include:
A) base series
B) trend
C) seasonal component
D) cyclic component
E) all of these options

Question

Quizplus · Accepted Answer

All of these components, including the base series, trend, seasonal component, and cyclic component, are important to consider when analyzing a time series. The base series represents the overall level of the series, while the trend shows a long-term change in the series. The seasonal component captures the regular pattern of variation that occurs within a year or other fixed time period. The cyclic component represents longer-term fluctuations that are not tied to a fixed time period but may still exhibit a recurring pattern. Therefore, all of these options are important to consider when analyzing a time series.

The Components of a Time Series Include