Author: Anonymous

Maximum-Likelihood esitmators are always preferred over Methods of Moments (MoM) estimators. 

Using the iterative selection via AIC reduction approach, you find the best orders for the following stock prices: AAPL, GOOG, FB, TSLA (given below in order). Which model has the lowest degrees of freedom?

Which measure of model performance allows for a unitless (scale-free) comparison?

Which of the following is a parametric trend estimation model?

ARMA(2,1) process Xt – 5Xt-1 = Zt + .5Zt-1 is causal, but not invertible. 

Variance of Xt = 2Xt-1 + Zt is infinite.

It is possible to include multiple seasonality components (e.g both day and month) when using ANOVA modeling.

If an ACF plot cuts off at lag 2, you can conclude it is an MA(2) process. 

Suppose Xt ~ IID(0, σ2). The series St = t*Xt + 3*Xt is stationary.

The Ljung-Box test is used to check for normality of residuals.