Question: Use the data in ORANGE.XLS to complete the previous example. In particular: (a) Do a DickeyFuller test to verify that both orange price series have

Use the data in ORANGE.XLS to complete the previous example. In particular:

(a) Do a Dickey–Fuller test to verify that both orange price series have unit roots.

(b) Do a sequential test to verify that the Dickey–Fuller test on the residuals was done correctly. That is, is an AR(1) model for the residuals appropriate?

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