Question: 5. It is somewhat surprising that classical decomposition does not classical fare better in Table 11-2. One reason might be that it is as decomposition
5. It is somewhat surprising that classical decomposition does not classical fare better in Table 11-2. One reason might be that it is as decomposition much a tool for analysis as a forecasting method. However, its perceived value is certainly below what the empirical evidence on performance would suggest. Moreover, its ability to decom-
pose a series into seasonality, trend-cycle, and randomness is of high importance and of great intuitive appeal to managers.
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