Question

Choose the most fitted correct answer. 1. A time series {Yₜ} is said to be moving average process of order q if Yₜ = θ(L)Zₜ where

A. θ(L) = 1 - β₁L - β₂L² - ... - βₙLⁿ
B. θ(L) = 1 + βL + β²L² + ... + βⁿLⁿ
C. θ(L) = 1 - β₁L - β₂L² - ... - βⁿLₙ
D. θ(L) = 1 + β₁L - β₂L² + ... - βₙLⁿ​

Answer 1

The correct answer is:

`A. ( \theta(L) = 1 - \beta_1L - \beta_2L^2 - ... - \beta_nL^n )`

ᶜˡᵃⁱᶠʳ