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Please answer the following question! 3. (AR Model; 40 pts, 10 pts each) Let {Y} be the first order autoregressive (AR(1)) process Yt - 1

Please answer the following question!

3. (AR Model; 40 pts, 10 pts each) Let {Y} be the first order autoregressive (AR(1)) process Yt - 1 = $( Yt-1 - 1) + Ex, 10)

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