DATA624: Predictive Analytics: HW#12

Exercise 3.1

For the following series, find an appropriate Box-Cox transformation in order to stabilise the variance.

• usnetelec

autoplot(usnetelec)

(lambda <- BoxCox.lambda(usnetelec))

## [1] 0.5167714

autoplot(BoxCox(usnetelec,lambda))

• usgdp

autoplot(usgdp)

(lambda <- BoxCox.lambda(usgdp))

## [1] 0.366352

autoplot(BoxCox(usgdp,lambda))