When using Holt's model,choosing values of the smoothing constant $\beta$
That are near 1 will result in forecast models which
A) react very quickly to changes in the level
B) react very quickly to changes in the trend
C) react very quickly to changes in the level and the trend
D) react very slowly to changes in the level and the trend

Question

Quizplus · Accepted Answer

A high value of the smoothing constant $\beta$ in Holt's model makes the forecast react quickly to changes in the trend.

When Using Holt's Model,choosing Values of the Smoothing Constant β\betaβ That Are near 1 Will Result in Forecast Models Which

When Using Holt's Model,choosing Values of the Smoothing Constant $\beta$ That Are near 1 Will Result in Forecast Models Which