A causal model that predicts demand when the independent variable and the dependent variable are linearly related is?
A) Linear trend forecast
B) Simple linear regression forecast
C) Multiple regression forecast
D) Exponential smoothing forecast

Question

Quizplus · Accepted Answer

When the independent variable and dependent variable have a linear relationship, the best choice for a causal model to predict demand is a simple linear regression forecast. This model will fit a straight line to the data and use it to make predictions.

A Causal Model That Predicts Demand When the Independent Variable