(A)Obtain an Autocorrelation Table for This Series

question 14

Essay

(A)Obtain an autocorrelation table for this series.
(B)Use the results of (A)to specify one or more "promising" autoregression models.Estimate each model with the available data.Which model provides the best fit to the given data?
(C)Use the best autoregression model from (B)to produce a forecast of the CCI in 2007.Also,provide a measure of the likely forecast error.
(D)Use the moving average method with a carefully chosen span to forecast this time series in 2007 and 2008.Explain your choice of the span.
(E)Between the best autoregression model and the best moving average model,which is best? Explain your answer.

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Definitions:

Market Price

The current value at which a good or service is bought or sold in the market, typically influenced by the forces of supply and demand.

Maximum Price

A price ceiling, often set by regulatory bodies, above which a particular good or service cannot be sold, intended to protect consumers.

Consumer Surplus

The divergence between the price customers are willing to pay and the price they actually pay for a good or service.

Willingness to Pay

The maximum amount an individual is prepared to spend to acquire a good or service or to avoid something undesirable.