Using the t-ratios given above, determine whether there is evidence of significant seasonality in UK personal consumption expenditure. Clearly explain how you reach your conclusion.
A researcher is trying to model the level of UK personal consumption expenditure i.e. the total amount spent by households on goods and services for consumption. Using quarterly data from quarter 1 1997 to quarter 4 2019, the following regression model is estimated (with t-ratios given below in parentheses): where Ct is UK personal consumption […]
