Question

After a linear forecasting model is found for a time series, if the Durbin-Watson statistic is less than dLthis means that:

A) no positive autocorrelation exists, the linear model is adequate.

B) positive autocorrelation exists, a nonlinear model should be tried.

C) no positive autocorrelation exists, a nonlinear model should be tried.

D) positive autocorrelation exists, the linear model is adequate.

Answer

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