Question: 16.7 The data file High Yield Index contains the time series of the percent yield on bonds issued by European corporations. This yield is a

16.7 The data file High Yield Index contains the time series of the percent yield on bonds issued by European corporations. This yield is a measure of the return to investors of investing in these bonds.

Compute a simple, 7-year centered moving average for this series. Based on a time plot of the smoothed series, what can be said about its regular components?

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