Multiple Choice
Which of the following statements correctly identifies the difference between an autoregressive model and a vector autoregressive model?
A) In an autoregressive model,the dependent variable is expressed as a function of its own lag,whereas in a vector autoregressive model,the dependent variable is expressed as a function of the lag of an explanatory variable.
B) In an autoregressive model,the dependent variable is expressed as a function of the lag of an explanatory variable,whereas in a vector autoregressive model,the dependent variable is expressed as a function of its own lag.
C) In an autoregressive model several series are modelled in terms of their own past,whereas in a vector autoregressive model only one series is modelled in terms of its own past.
D) In an autoregressive model one series is modelled in terms of its own past,whereas in a vector autoregressive model several series are modelled in terms of their past.
Correct Answer:

Verified
Correct Answer:
Verified
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