5. One of the strength of fitting models by MCMC using BUGS is that a very wide range of models can be fit. As an example, in this exercise a regression model with MA(1) errors will be used. For data, use the first 1500 returns5 on GM and on the S&P 500 index in the data set Stock Bond.csv. Fit the model Rt = βRM,t + t + θt−1.

where Rt is the tth return on GM, RM,t is the tth return on the S&P 500, and 1,...,1500 are i.i.d. N(0, σ2

). Use non-informative priors on β, θ, and

σ2

.