Question: What limitations do you foresee with this forecasting method projecting mortgage rates several years into the future? Select all answers that apply. A . The
What limitations do you foresee with this forecasting method projecting mortgage rates several years into the future? Select all answers that apply.
A
The trend projection will eventually predict mortgage rates of or less than which does not ma
ke sense in this context.
B
The trend projection is linear. While the data appear to be linear over the given time period, it is not safe to assume that they will continue to be
C
Mortgage rates are eventually going to increase, while the trend projection predicts them to decrease forever.
D
Trend projections only forecast accurately for data with strong negative autocorrelation.
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