Start learning 50% faster. Sign in now
To achieve stationarity, a time series must have a constant mean and variance over time. Removing both the trend and seasonality components ensures that the data's systematic variations are eliminated, leaving behind only the residuals (or irregular components). This stationary data is then ready for advanced forecasting methods, like ARIMA. For instance, when analyzing stock prices, trends and seasonal fluctuations are removed to focus on the unpredictable residuals. Why Other Options Are Wrong : A) Trend : Removing only the trend does not ensure stationarity if seasonal patterns persist. B) Seasonality : Isolating seasonality alone leaves the trend intact, preventing full stationarity. C) Residuals : Residuals are the noise left after decomposition; they do not need removal. E) Irregular Component : Irregular components are random and do not affect stationarity.
The Marginal Standing Facility (MSF) rate is linked to which of the following rates?
_______ has got approval for the complete acquisition of Ohm Global Mobility Private (OHM) from OHM International Mobility for a nominal consideration...
Which organization is primarily responsible for ensuring financial inclusion in India?
Which financial instrument provides the right, but not the obligation, to buy or sell an asset at a specified price?
Which act governs the regulation and supervision of NonBanking Financial Companies (NBFCs) in India?
Under the Liberalised Remittance Scheme, all resident individuals, including minors, are allowed to freely remit up to USD ______ per financial year.
USSR was disintegrated in the period ______?
Which of the following banks continue to be identified by Reserve Bank of India as Domestic-Systemically important Banks?
The Rupee's _______ against a basket of currencies has increased, indicating that the Rupee has strengthened against major trading partners.
Which of the following instruments is considered an alternative to cash in the Indian payment system?