PS – 0.72 is the variance
Q: While calculating confidence interval, don’t we have to consider standard error and not standard deviation?
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Sf means the variance of the prediction error or standard error of the forecast.
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Its a prediction error. Can you tell me the difference between the two and when they are used? I don’t have the entire item set. Hope you can help.
Prediction error and standard error of the forecast are one and the same.