Using the average baseball salary from 2000 through 2017 data

Using the average baseball salary from 2000 through 2017 data for Problem 16.18 on page 645 (stored in BBSalaries),

a. Fit a third-order autoregressive model to the average baseball salary and test for the significance of the third-order autoregressive parameter. (Use α = 0.05.)

b. If necessary, fit a second-order autoregressive model to the average baseball salary and test for the significance of the second-order autoregressive parameter. (Use α = 0.05.)

c. If necessary, fit a first-order autoregressive model to the average baseball salary and test for the significance of the first order autoregressive parameter. (Use α = 0.05.)

d. Forecast the average baseball salary for 2018.

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Using the average baseball salary from 2000 through 2017 data

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