Question

The accompanying data file contains 20 observations for t and y_t.

Actual series are plotted along with the superimposed linear and exponential trends.

t	y	t	y	t	y	t	y
1	1.91	6	4.93	11	5.96	16	15.58
2	3.57	7	6.78	12	9.02	17	12.33
3	5.83	8	4.58	13	9.52	18	13.95
4	5.39	9	7.19	14	14.02	19	15.63
5	2.78	10	8.81	15	14.57	20	19.77

The accompanying data file contains 20 observations for tand yt Click here for the Excel Data File Actual series are plotted along with the superimposed linear and exponential trends. 25 20 15 10 ·-Linear (y) _Expon. (y) 0 10 0 15 20 25 b-1. Estimate a linear trend model and an exponential trend model for the sample. (Round your answers to 2 decimal places.) Variable Linear Trend Exponential Trend Intercept Standard Error b-2. Calculate the MSE and MAD for the both trends models. (Do not round estimates or intermediate calculations. Round final answers to 2 decimal places.) Linear Trend Exponential Trend MSE MAD b-3. By comparing MSE and MAD, which of the above methods perform better? Exponential trend performs better Linear trend performs better

Answer 1

A lineot trerl redel arsl an exPomentiol mole) tsem -the sam ple is oun Convert it into lineoe 9-* + o..og86.*.t 1.oo 3 = vosiable Linese en Exponential trind Ex Penentia trend oter cept . 221 0: 09SG vat, able!一一Linen trendl-erferential trend O4O O. 80 sharderrd on 1.92

b-2 3 11S 1.44 MSE 3. 680 MAD.s now that MAD st desty is avesege distance between way to destribe variation is less thot mean MAD 1s less +he model is best Also, MSE is mean squarne bet weer the dete set on voslalles s less for the exponerta trend so. sxponentiol trent o, exponent ム ,Peepoms, better