Business forecasting with excel | Business & Finance homework help
When looking at the autocorrelation structure of larceny thefts for lags of 1, 2, 3, 4, and 5 it is clear that the coefficients quickly fall towards zero. The critical value for rk in this case is 0.417 which tells us that all values are significantly below that threshold indicating there is no correlation between any consecutive periods when examining this data.
This result indicates that there is no trend in these thefts as each period does not seem to influence the subsequent one. This could be an indication of randomness or variability within the data which suggests that further analysis may be required to gain a better understanding of what factors are contributing to this pattern. Additionally, it should also be noted that while autocorrelations can provide insight into short-term patterns they should not be used alone when attempting to predict long-term trends.
Overall, these results demonstrate that there are no trends present within larceny thefts when analyzing them with respect to consecutive periods as indicated by their low autocorrelation coefficients. Therefore additional research needs to be conducted in order to gain more insight into why this might be occurring before any conclusions can be made regarding future behavior.