StatTimeSerAnalysis.DurbinWatson Method

function DurbinWatson(const Residuals: TVec): Double;

Calculates the Durbin-Watson statistic

#NameTypeDescription
1ResidualsTVec

Returns: Double

Remarks:

The Durbin-Watson tests for presence of correlation between consecutive residuals. We are testing hypothesis:

  • H0: The residuals are not correlated.
  • HA: Residuals are autocorrelated.

The test statistics ranges from 0 to 4 where d value of means:

  • 0 : autocorrelation not preset.
  • < 2: positive serial correlation.
  • > 2: negative serial correlation.

A perfect result is a value equal to two. Value less than 1.5 or bigger than 2.5 indicates an autocorrelation problem.