611 Table 612 on the textbooks Web site gives nonseasonally

6.11. Table 6-12 on the textbook’s Web site gives nonseasonally adjusted quarterly data on the retail sales of hobby, toy, and game stores (in millions) for the

period 1992: I to 2008: II. Consider the following model:

Salest = B1 + B2D2t + B3D3t + B4D4t + ut

where D2 = 1 in the second quarter, = 0 if otherwise D3 = 1 in the third quarter, = 0 if otherwise D4 = 1 in the fourth quarter, = 0 if otherwise

a. Estimate the preceding regression. b. What is the interpretation of the various coefficients?

c. Give a logical reason for why the results are this way. *d. How would you use the estimated regression to deseasonalize the data?

(Econometrics)

Econometrics. McGraw-Hill Create. VitalBook file.

Solution

hey provide the table then only we can provide the soln