sts) You use AR(1) model X-100 0.6(x-1-19

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2. (Updating forecasts) You use AR(1) model X - 100 = 0.6(X-1 - 100) + 24 to represent a time
series of 100 observations. You are given that X00= 110. You later observe Xjoi= 95. Calculate
Piot X10s - Pioo X103
(Hint: review Example 13.1 on slides 9- 10 of Week 7.)
3 An ARMA90
Transcribed Image Text:2. (Updating forecasts) You use AR(1) model X - 100 = 0.6(X-1 - 100) + 24 to represent a time series of 100 observations. You are given that X00= 110. You later observe Xjoi= 95. Calculate Piot X10s - Pioo X103 (Hint: review Example 13.1 on slides 9- 10 of Week 7.) 3 An ARMA90
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