In a time series, the variations which occur due to general tendency of the data to increase or decrease over a long term are known as:
Answer & explanation
Correct answer: option 2
The correct answer is Option (2) → Secular Variations
The general tendency of a time series to increase or decrease over a long period is the secular trend, and the changes it causes are called secular variations.
Why the other options are incorrect
Option (1) Cyclical Variations — Incorrect. These are up-and-down swings that last more than a year, such as business cycles of boom and depression.
Option (3) Irregular Variations — Incorrect. These are random, unpredictable changes caused by events such as floods, strikes or wars.
Option (4) Seasonal Variations — Incorrect. These repeat within a year, with the seasons, festivals or customs.
CBSE Applied Mathematics (Class XII):
Time Series Analysis
