In regression analysis,the existence of a significant pattern in successive values of the error term constitutes:
A)heteroscedasticity
B)autocorrelation
C)multicollinearity
D)nonlinearities
E)a simultaneous equation relationship

Question

Quizplus · Accepted Answer

Autocorrelation occurs when there is a significant pattern in the successive values of the error term. This violates one of the assumptions of linear regression, which is that the error terms are uncorrelated.

In Regression Analysis,the Existence of a Significant Pattern in Successive