The left column displays scatter plots of |$(T_{i,N}, T_{i,N+1})$|⁠, while the right column shows the density estimates of |$T_{i,N}$| for |$N=0,\dots ,5$|⁠. The |$z$|-score vector is generated according to model (7) with |$K=1000$|⁠, |$\tau =2$|⁠, |$\pi =0.3$|⁠, and |$b=0.2$|⁠. Rows represent various covariance structures: Row (a) correspond to an AR(1) covariance with |$\rho = 0.8$|⁠; row (b), a Banded(1) covariance with |$\rho = 0.5$|⁠; row (c), a long-range covariance with |$H = 0.9$|⁠; and row (d), an equicorrelated covariance with |$\rho = 0.8$|⁠.