ARIMA Model Diagnostics: A Step-by-Step Guide

This video tutorial by CrunchEconometrix provides a comprehensive guide to conducting diagnostics for ARIMA models. The speaker begins by reviewing the chosen ARIMA model and then proceeds to discuss the essential diagnostics. These diagnostics include plotting the correlogram of the residuals and the partial correlogram (PACF) of the residuals.

The speaker concludes by emphasizing the importance of parsimony in ARIMA modeling and the significance of a flat correlogram of the residuals for accurate forecasting.

Credit: To Dr. Ngozi ADEYELE, PhD. Founder Crunch Econometrix

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ARIMA Model Diagnostics: A Step-by-Step Guide