Trend stationary: The mean trend is deterministic. Once the trend is estimated and removed from the data, the residual series is a stationary stochastic process. ... Differencing the series D times yields a stationary stochastic process.

What is a deterministic trend?

1. 14. The deterministic trend is one that you can determine from the equation directly, for example for the time series process yt=ct+ε has a deterministic trend with an expected value of E[yt]=ct and a constant variance of Var(yt)=σ2 (with ε−iid(0,σ2).

Can a trend be stationary?

In the statistical analysis of time series, a trend-stationary process is a stochastic process from which an underlying trend (function solely of time) can be removed, leaving a stationary process. ... It is possible for a time series to be non-stationary, yet have no unit root and be trend-stationary.