Definition of «stochastic trend»

The phrase "stochastic trend" refers to a pattern or movement that is not predictable or consistent, but rather random or unpredictable. It suggests that there is no clear direction or pattern to a certain trend, and it can change or fluctuate unexpectedly.

Sentences with «stochastic trend»

We use three different tests to determine the presence of stochastic trends in a selected group of global climate change data for the longest time series available. (ideas.repec.org)
This inability has little effect on the results — statistical estimates are based on the notion of cointegration, which uses stochastic trends as fingerprints to match temporal changes in temperature and radiative forcing. (pnas.org)
We focus on the presence or absence of stochastic trends. (ideas.repec.org)
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