The model y = a + 8t + 0yt-1 +e; is called:O a. AR(1) model.O b. AR(2) with the deterministic trending model.O c. AR(O) with the deterministic trending model.O d. AR(2) model.O e. AR(O) model.

Answered: . AR(2) with the deterministic trending…

. AR(2) with the deterministic trending model. E. AR(O) with the deterministic trending model. 1. AR(2) model. e. AR(O) model.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

The model y = a + 8t + 0yt-1 +e; is called:
O a. AR(1) model.
O b. AR(2) with the deterministic trending model.
O c. AR(O) with the deterministic trending model.
O d. AR(2) model.
O e. AR(O) model.

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