1. Consider the bivariate time series records containing monthly U.S. production (prodn) as mea- sured by the Federal Reserve Board Product on Index and the monthly unemployment series (unemp) from astsa pacakge. (1) Compute the spectrum and the log spectrum for each series, and identify statistically significant peaks. (2) Explain what might be generating the peaks. (3) Compute the coherence, and explain what is meant when a high coherence is observed at a particular frequency.

1. Consider the bivariate time series records containing monthly U.S. production (prodn) as mea- sured by the Federal Reserve Board Product on Index and the monthly unemployment series (unemp) from astsa pacakge. (1) Compute the spectrum and the log spectrum for each series, and identify statistically significant peaks. (2) Explain what might be generating the peaks. (3) Compute the coherence, and explain what is meant when a high coherence is observed at a particular frequency.

Managerial Economics: Applications, Strategies and Tactics (MindTap Course List)

14th Edition

ISBN:9781305506381

Author:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Publisher:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Chapter5: Business And Economic Forecasting

Section: Chapter Questions

Problem 5E: A firm experienced the demand shown in the following table. *Unkown future value to be forecast Fill...

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