An Illustration of the Conditional vs. Unconditional Expectation

The video is a short follow-up on Lecture 2 where we discussed the difference between the conditional and unconditional expecation.

We consider a stationary AR(1) process and illustrates the difference between the conditional and the unconditional expectation of the process.

[marjavanderwind]

Still usefull in 2020. I mean: even more usefull than it has ever been, due to COVID19-crisis and new education circumstances.

[Pabloparsil]

Subscribed. Thanks for this, it is crystal clear

[tagoma]

Don't you mean E(0.5 * 2 + eps_{101} | y_{100} = 2) instead of E(0.5 * 2 + eps_{101} | y_{101} = 2)?

[baron]

why did you assume that E(yt) is equal to 0 ?