Question 13.32

13.32 Visitors to Canada.

Continue the previous exercise.

visitca

  1. Make indicator variables for the months of the year, and fit a linear trend along with 11 indicators to each of the two data series. Report your estimated models.
  2. Based on these fits, make forecasts for the number of visitors from the United States and the number of visitors from countries other than the United States for June 2014.
  3. Based on the regression outputs, which variables appear to not be contributing significantly to the fit? Rerun the regressions without those variables and report your estimated models.