Questions
ECON7950 (1) [2024 B2] In-Class Quiz 2
Single choice
Which of the following time series process is stationary?
Options
A.a. A white noise process.
B.b. A process with a stochastic trend.
C.c. A process with p-value equals to 0.3 in the ADF test.
D.d. A process with a deterministic trend.
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Step-by-Step Analysis
Consider the question: Which of the following time series process is stationary?
Option a: a white noise process. White noise is by definition stationary because its mean, variance, and autocovariance do not depend on time, and there is no serial correlation that changes over time......Login to view full explanationLog in for full answers
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Similar Questions
Would it be convenient to use a machine learning model directly on the time series below? I No, because the level of the time series is too high, going beyond 4000. II No, because the time window of the time series is too wide. III No, it would be better to test for the non-stationarity of the time series and transform it before applying any model. IV Yes, machine learning can deal with any type of time series without problems.
What is the primary characteristic of a stationary time series?
How would you characterize such a time series :
A random walk process (no drift!) has mean zero, that's why it's weakly stationary but not strong (strict) stationary
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