Men’s weekly earnings. This graph shows the quarterly median weekly earnings from the first quarter of 2000 through the fourth quarter of 2007 for men, 25 years of age or older, in the United States (www.bls.gov).

Identify which plot is the 2-quarter moving average and which is the 8-quarter moving average. Explain why the better-fitting model fits better.

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Median Weekly Earnings 800 750 725 700 Qtr 2 2001 Qtr 1 2002 Qtr 3 2003 Qtr 2 2004 Qtr 1 2005 Qtr 3 2006 Qtr 22007 Qtr 3 2000 Qtr 4 2002 Qtr 4 2005 Quarter Here are time series plots showing a 2-quarter moving av- erage and an 8-quarter moving average. Median Weekly Earnings Median Weakly Earnings 825 800 750 725 700 Plot A 850 825 800 775 750 725- 700 22 ++ + + + 3 6 9 12 15 18 21 24 27 30 Index