A Blog dedicated to tracking economic trends and financial matters.
Thursday, May 07, 2009
An Adjustment for All Seasons
In another great post, expert analyst Ira Artman demonstrates very clearly that although seasonal adjustment is a very powerful tool for macroeconomic analysis, it’s not a perfect science.
Ira adjusts new and existing home sales data as well as pending home sales data using a rolling 12 month sum which serves to disclose the trend in each series while avoiding some of the volatility inherent in the seasonally adjusted data.