Select all correct statements about the finite distributed

lag model. Note that multiple answers may be correct. (A wrong answer will

result in negative points.)

Model the daily closing prices of DAX (Deutsche Aktienindex) on the prices of FTSE (Financial Times Stock Exchange) using a finite distributed lag model:

data(EuStockMarkets)

Report the long-run multiplier (propensity) using at least 2 decimal places.

Your task

is to model the 

data("Nile")

Estimate

the following model using the

Is the linear trend 

statistically

significant

Consider the following regression model with the dependent variable y_t and the linear trend:

where u_t is a random variable and betas are parameters of the model.

How would you decide whether the linear trend is significant?

Your task

is to model the 

data("EuStockMarkets")

y <-

EuStockMarkets[,"FTSE"]

Estimate

the following model using the 

Report

the coefficient for the linear trend.

Round the number to two decimal places!