Short-term, unanticipated, and nonrecurring factors in a time series provide the random variability known as
A)uncertainty.
B)the forecast error.
C)the residuals.
D)the irregular component.

Question

Quizplus · Accepted Answer

Short-term, unanticipated, and nonrecurring factors in a time series are typically considered to be part of the irregular component, also known as the random or chaotic component of the series. This component reflects the inherent unpredictability of certain events or phenomena, such as natural disasters, unexpected economic shocks, or sudden changes in consumer behavior. The irregular component is typically calculated as the difference between the actual values of the time series and the values predicted by a statistical model or forecast.

Short-Term, Unanticipated, and Nonrecurring Factors in a Time Series Provide