1. In autoregression the basic assumption of independence of the error (residual) terms can easily be violated,...
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1. In autoregression the basic assumption of independence of the error (residual) terms can easily be violated, since the explana-
tory (right-hand side) variables in equation (7.13) usually have built-in dependence relationship.
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Related Book For 
Forecasting Methods And Applications
ISBN: 9780471532330
3rd Edition
Authors: Spyros G. Makridakis, Steven C. Wheelwright, Rob J Hyndman
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