If we determine that the price of a certain stock has increased over the last decade, but its growth rate has remained relatively constant. The model that is most appropriate for predicting the future prices of the stock is:

A. P_t = b₀ + b₁ (t)
B. ln(P_t) = e^{b₀ + b₁ (t)}
C. ln(P_t) = b₀ + b₁ (t)

Correct Answer: C

A log-linear model is most suitable for a time series that grows at a constant growth rate. C is the correct format.