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 Consider the AR(1) model Yt=β0+β1Yt1+ut,β1<1.. \text { Consider the AR(1) model } Y _ { t } = \beta _ { 0 } + \beta _ { 1 } Y _ { t - 1 } + u _ { t } , \left| \beta _ { 1 } \right| < 1 \text {.. }

Question 33

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 Consider the AR(1) model Yt=β0+β1Yt1+ut,β1<1.. \text { Consider the AR(1) model } Y _ { t } = \beta _ { 0 } + \beta _ { 1 } Y _ { t - 1 } + u _ { t } , \left| \beta _ { 1 } \right| < 1 \text {.. } (a)  Find the mean and variance of Yt\text { Find the mean and variance of } Y _ { t } \text {. }

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