Assume that U and V are uniform random numbers defined on [0,1]. What distribution does W = U +V follow? In the simulation of an AR model yn = ayn−1 +vn, vn ∼ N(0,1), we usually generate m+n data...

Assume that U and V are uniform random numbers defined on [0,1]. What distribution does W = U +V follow?

In the simulation of an AR model yn = ayn−1 +vn, vn ∼ N(0,1), we usually generate m+n data elements and discard the initial m realizations. How large should m be?

Show a method of simulating future values based on observations up to the present time