Question 13.27

13.27 Hotel occupancy rate.

A fundamental measure of the well-being of the hotel industry is the occupancy rate. Consider monthly data on the average hotal occupancy rate in the United States, beginning in January 2011 and ending in June 2014.17

hotel

  1. Use statistical software to make a time plot of these data.
  2. Does this time series exhibit a trend? If so, describe the trend.
  3. Do these data exhibit a regular, repeating pattern (seasonal variation)? If so, describe the repeating pattern.

13.27

(b) Overall, occupancy rates are going up slightly. (c) There is a seasonal trend every year, with rates peaking in June and July and lows during December and January.