Serial correlation is typically observed in ________.
A) outliers
B) sparse data
C) time series data
D) get estimators that are biased and cannot conduct tests of significance

Question

Quizplus · Accepted Answer

Serial correlation, also known as autocorrelation, is a common feature of time series data where observations at one point in time are correlated with observations at nearby points in time. This makes option C the correct answer. Outliers may not necessarily exhibit serial correlation, and sparse data may not have enough observations to detect it. Option D is also incorrect, as serial correlation can be accounted for by using appropriate statistical models and tests.

Serial Correlation Is Typically Observed in ________