---
title: "Moving average model of order 1"
output: html_document
---

## Simulation of MA(1)

- The series $w_t$ is white noise with zero mean and variance $\sigma_w^2$. For
the following moving average models, find the autocorrelation function. In addition,
simulate 100 observations from each model in R, compare the time plots of the simulated series, and comment on how the two series might be distinguished.

- $$x_t = w_t + \frac{1}{2}w_{t-1}$$
- $$x_t = w_t + 2w_{t-1}$$