Question
The weekly rates of return for ve stocks were recorded for the period January 1995 through March 1995. The data provided here are for 16
The weekly rates of return for ve stocks were recorded for the period
January 1995 through March 1995. The data provided here are for 16
weekly rates of return. The stocks observed are Allied Chemical, Dow
Chemical, Union Chemical, the Standard Oil Company, and Texas oil.
Data can be found in the le stocks.csv.
(a) Calculate the mean and standard deviation for each variable.
(b) Calculate the correlation structure between and within the chem-
ical companies and the oil companies.
(c) State the hypotheses and test for the signicance of the canonical
correlations.
(d) Give the values of the signicant canonical correlations and the
squared canonical correlations. Interpret the squared canonical
correlations in the context of the problem.
(e) Write the equations of the signicant canonical variables. Com-
ment on their relative importance of the original variables to the
canonical variables.
(f) Comment and interpret the redundancy analysis.
Use R to answer this qusetion please share the commands
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