Author Question: Test the model for autocorrelated errors. What will be an ideal ... (Read 93 times)

TFauchery

  • Hero Member
  • *****
  • Posts: 500
Test the model for autocorrelated errors.
 
  What will be an ideal response?

Question 2

List the assumptions when arrivals are governed by a Poisson process.
 
  What will be an ideal response?


sailorcrescent

  • Sr. Member
  • ****
  • Posts: 334
Answer to Question 1

The appropriate null and alternative hypotheses are H0 :  = 0, H1 :  > 0
d =1.34, n = 35, K = 4.
The cutoff points for the distribution of the Durbin-Watson test statistic are dL= 1.22 and dU = 1.73 (for  = 0.05 ) and dL= 1.03 and dU = 1.51 (for = 0.01 )
The decision rule is as follows:
Reject H0 if d < dL
Accept H0 if d > dU
Test is inconclusive if dL < d < dU
Since 1.22 < 1.34 < 1.73 and 1.03 < 1.34 < 1.51, Durbin-Watson test gives inconclusive results at both the 5 and 1 levels.

Answer to Question 2

Many models assume that arrivals are governed by a Poisson process. This means that:
1 ) Customers arrive one at a time, independently of each other and at random.
2 ) Past arrivals do not influence future arrivals; that is, the probability that a customer arrives at any point in time does not depend on when other customers arrived (sometimes we say that the system has no memory).
3 ) The probability of an arrival does not vary over time (the arrival rate is stationary).



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

The senior population grows every year. Seniors older than 65 years of age now comprise more than 13% of the total population. However, women outlive men. In the 85-and-over age group, there are only 45 men to every 100 women.

Did you know?

Human stomach acid is strong enough to dissolve small pieces of metal such as razor blades or staples.

Did you know?

There are more nerve cells in one human brain than there are stars in the Milky Way.

Did you know?

Hyperthyroidism leads to an increased rate of metabolism and affects about 1% of women but only 0.1% of men. For most people, this increased metabolic rate causes the thyroid gland to become enlarged (known as a goiter).

Did you know?

The U.S. Pharmacopeia Medication Errors Reporting Program states that approximately 50% of all medication errors involve insulin.

For a complete list of videos, visit our video library