Which of the followings is a major disadvantage of naive and

Which of the followings is a major disadvantage of naive and moving average models? A. These models are inexpensive to develop and operate. B. The performance of these models is better than that of sophisticated models, such as regression methods. C. Possible causal relationships that underlie the forecasted variable are not considered. D. New information does not have to be updated on a rolling basis in these models.

Solution

ANSWER IS: New information does not have to be updated on a rolling basis in these models.

IT CAN NOT BE UPDATED UNTIL MOST RECENT VALUE IS AVAILABLE