If a trend is given by yt aebt then a the trend is exponent

If a trend is given by y_t = ae^bt, then:

a. the trend is exponentially increasing.

b. the fitted trend value in period 0 is b.

c. the trend is exponentially decreasing.

d. the trend is increasing if b > 0 and decreasing if b < 0.

Solution

Ans: d. the trend is increasing if b > 0 and decreasing if b < 0.