In regression analysis,extrapolation is performed when you:
A) attempt to predict beyond the limits of the sample
B) have to estimate some of the explanatory variable values
C) have to use a lag variable as an explanatory variable in the model
D) don't have observations for every period in the sample

Question

Quizplus · Accepted Answer

Extrapolation involves predicting values beyond the range of the data used to fit the regression model. This is usually done when the goal is to forecast or estimate future values that are outside the time period covered by the available data. Option B refers to imputation of missing values, option C refers to using lagged variables, and option D refers to data completeness.

In Regression Analysis,extrapolation Is Performed When You