Exercise 8 of Chapter l includes data on the Japanese exchange rate (EXRJ) by month. On the

Question:

Exercise 8 of Chapter l includes data on the Japanese (EXRJ) by month. On the basis of a time-series plot of these data and the autocorrelation structure of EXRJ, would you say the data are stationary? Explain your answer.
In exercise

Exchange Rate
The value of one currency for the purpose of conversion to another. Exchange Rate means on any day, for purposes of determining the Dollar Equivalent of any currency other than Dollars, the rate at which such currency may be exchanged into Dollars...