Quarterly Figures for E-Commerce Retail Sales Were Obtained from the First

Multiple Choice

Quarterly figures for e-commerce retail sales were obtained from the first quarter of 2009 through the fourth quarter of 2015. A regression model was estimated to describe the trend in e-commerce retail sales over time. Suppose that for the regression model estimated using the data described, the Durbin-Watson statistic was calculated as 1.727. Using α = 0.01 we can conclude that

A) there is evidence of positive autocorrelation.
B) there is evidence of negative autocorrelation.
C) there is no evidence of positive or negative autocorrelation.
D) since 1.727 is greater than upper critical value, there is evidence of an outlier.
E) as dL < 1.727 < dU, the test is inconclusive.