Lesson 9: Prewhitening; Intervention Analysis

Overview

This week we'll look at two different topics -

  1. prewhitening as an aid in interpreting a CCF, and
  2. intervention analysis, which is the analysis of the effect of some sort of intervention to a time series process.

Objectives

After successfully completing this lesson, you should be able to:

  • Know when and how to prewhiten in order to help identify which lags of x predict y
  • Identify and interpret various patterns for intervention effects
  • Estimate an intervention effect