When perfect negative autocorrelation is present in a time series, the Durbin- Watson statistic will be equal to _________ .
A)3
B)0
C)1
D)4

Question

When perfect negative autocorrelation is present in a time series, the Durbin- Watson statistic will be equal to _________  .
A)3
B)0
C)1
D)4

Quizplus · Accepted Answer

When perfect negative autocorrelation is present in a time series, the Durbin-Watson statistic will be equal to 4. This is because the Durbin-Watson statistic ranges from 0 to 4, where 2 indicates no autocorrelation, 0 to 2 indicates positive autocorrelation, and 2 to 4 indicates negative autocorrelation, with 4 representing perfect negative autocorrelation.

When Perfect Negative Autocorrelation Is Present in a Time Series