New Chapter 3
(i.e. 0 represents the year 1972). The dependent variable, y, will represent the interest rate. We will first input the data into the Modeling Applet and look at the scatterplot of the data. The results are shown in Figure 1.21. (Figure 1.210 Interest Rate Data. Since the data does not strictly increase, we can rule out using a linear model. ................
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