Forecasting: Quadratic trend model
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Fit a quadratic trend model to the data and write down its forecasting equation (expressing each coefficient to 2 d.p.'s).
USA quarterly Industrial Production Index from Q1 1998 to Q4 2005
2002=100, Seasonally Adjusted, Source: US Federal Reserve Board
2001Q1 136.7
2001Q2 124.1
2001Q3 120.5
2001Q4 117.4
2002Q1 101.1
2002Q2 102.5
2002Q3 98.5
2002Q4 97.9
2003Q1 94.0
2003Q2 86.7
2003Q3 89.8
2003Q4 92.3
2004Q1 95.9
2004Q2 89.6
2004Q3 86.3
2004Q4 84.5
2005Q1 88.7
2005Q2 109.9
2005Q3 100.9
2005Q4 108.4
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Solution Summary
Fits a quadratic trend model to the data (USA quarterly Industrial Production Index from Q1 1998 to Q4 2005) and writes its forecasting equation.
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