I'm having a bit of trouble just starting a question, which I've attached.
The answer is E(yt) = 0 but how do you go about working that from the information given?
Any tips to point me in the right direction?
Thanks for the help
I'm having a bit of trouble just starting a question, which I've attached.
The answer is E(yt) = 0 but how do you go about working that from the information given?
Any tips to point me in the right direction?
Thanks for the help
Thanks for your reply
Does this mean that I should assume,
E(et) = E(et-1) = E(et-2) = 0
but what is the basis of assuming this?
Alternatively, I'm guessing that this may have something to do with the statement E(etet+tau) = 0, although I'm not sure what this statement means either.