For each of the following, indicate whether or not you would expect it to have a strong seasonal component and why.
a. Sales of colorful wrapping paper, recorded monthly
b. The number of air travelers to Hawaii from Chicago, recorded monthly
c. The S&P 500 stock market index, recorded daily. Assume that the stock market is efficient, so that any foreseeable trends have already been eliminated through the action of large investors attempting to profit from them.
a. There will not be any seasonal component with this sale because birthdays/marriage parties etc for which colourful wrapping paper is …
This brief solution explains if each businesses of wrapping paper, airline tickets and stock markets have a seasonal component.