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The U.S. trade deficit with Canada (billions of dollars) from 1997 through 2004 is reported as shown in the table.
Using exponential smoothing and the smoothing constant α = 0.7, what deficit would have been forecast for 2005?
Year:
1997
1998
1999
2000
2001
2002
2003
2004
Deficit:
$15.5
16.6
32.1
51.9
52.8
48.2
51.7
66.5
Reflect on how your answers would change now that you have gained new knowledge. Return to your initial assignment and directly connect the content of your responses to the theories and material of this course.
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