Structural time series model with multiplicative error term

1. What is a multiplicative error?
2. What are structural time series models?
3. What is the methodology of Modelling time series?

What is a multiplicative error?

A multiplicative error is proportional to the true value of the quantity being measured. An example of a multiplicative error is when electronic scales provide readings 1% higher than the true weight - i.e. 1.01 kg for 1.0 kg standard weight, 2.02 kg for a 2.0 kg standard weight, etc.

What are structural time series models?

As we say before, a structural time series model is one in which the trend, seasonal and error terms in the basic model, plus other relevant components, are modeled explicitly.

What is the methodology of Modelling time series?

Times series methods refer to different ways to measure timed data. Common types include: Autoregression (AR), Moving Average (MA), Autoregressive Moving Average (ARMA), Autoregressive Integrated Moving Average (ARIMA), and Seasonal Autoregressive Integrated Moving-Average (SARIMA).