Top 150+ Solved Quantitative Methods for Economic Analysis 1 MCQ Questions Answer
Q. If a value is missing in a time series we can do one of the following
a. just copy the previous value
b. estimate it as an average between two neighbouring values
c. take the overall mean as the best estimate of it
d. ignore it
Q. One of the classifications of time series is that they can be either
a. categorical or ordinal
b. stationary or non-stationary
c. inflationary or non-inflationary
d. increasing or decreasing
Q. Another name for the regression method is
a. linear method
b. univariate method
c. time series method
d. causal method
Q. Exponential smoothing is
a. a method to use number exponents to smooth the time series
b. one of the forecasting methods
c. a method of testing linearity
d. a method to find elasticity
Q. Which of the following is not one of the four types of variation that is estimated in time- series analysis
a. predictable
b. trend
c. cyclical
d. irregular
Q. The cyclical component of time-series data is usually estimated using
a. linear regression analysis
b. moving averages
c. exponential smoothing
d. qualitative methods
Q. In time-series analysis, which source of variation can be estimated by the ratio-to-trendmethod
a. cyclical
b. trend
c. seasonal
d. irregular
Q. If regression analysis is used to estimate the linear relationship between the naturallogarithm of the variable to be forecast and time, then the slope estimate is equal to
a. the linear trend
b. the natural logarithm of the rate of growth
c. the natural logarithm of one plus the rate of growth
d. the natural logarithm of the square root of the rate of growth
Q. The use of a smoothing technique is appropriate when
a. random behaviour is the primary source of variation
b. seasonality is present
c. data exhibit a strong trend
d. all of the above are correct
Q. Barometric methods are used to forecast
a. seasonal variation
b. secular trend
c. cyclical variation
d. irregular variation
Q. A single-equation econometric model of the demand for a product is a ________equation in which the quantity demanded of the product is an ________ variable
a. structural, exogenous
b. structural, endogenous
c. definitional, exogenous
d. definitional, endogenous
Q. Econometric forecasts require
a. accurate estimates of the coefficients of structural equations
b. forecasts of future values of exogenous variables
c. appropriate theoretical models
d. all of the above
Q. Laspeyre's formula does not obey
a. factor reversal test
b. time reversal test
c. circular test
d. none