Triangular, or arithmetic, distributed-lag model.€  This model assumes that the stimulus (explanatory variable) exerts its greatest impact in the current time period and then declines by equal decrements to zero as one goes into the distant past. Geometrically, it is shown in Figure 17.9. Following this distribution, suppose we run the following succession of regressions:

etc., and choose the regression that gives the highest R² as the €œbest€™€™ regression. Comment on this strategy.

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