Consider the Uni-variate Moving Average Models (MA models) MA(1) $$x_t = \mu + w_t +\theta_1w_{t-1}$$ or the second order moving average MA(2) $$x_t = \mu + w_t +\theta_1w_{t-1}+\theta_2w_{t-2}$$
or the The qth order moving average model, denoted by MA(q) is
$$ x_t = \mu + w_t +\theta_1w_{t-1}+\theta_2w_{t-2}+\dots + \theta_qw_{t-q} $$
Am trying to understand how the coefficient $$\theta_1,\theta_2,...\theta_q$$ are calculated?
Can someone help me on this how to calculate the theta coefficient for an Uni variate MA process?
Sometimes I see examples like this xt = 10 + wt + .7wt-1, where Theta = 0.7 for an MA(1) process, am not sure how was this calculated?
Thanks,Kamal.