In an arma(p,q) series , what do p and q represent ?
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Arma model is a tool for understanding and predicting future values in Arma series.
It consists of two parts namely :
1.) The auto regressive part.
2.) The moving average part.
The model is usually referred to as ARMA (p, q) model.
Where :
p = The order of the auto regressive part.
q = The order of the moving average part.
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Answer: Its Lag Terms
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