I know that it involves the raw data and the mean seasonal effect.
I have seen these two equations and am unsure which one or if one is correct.
They are : raw data-mean seasonal effect=seasonally adjusted data
raw data/mean seasonal effect=seasonally adjusted dataWhat is the equation to seasonally adjust data?
it depends on how the seasonal effect is determined. Either one can be correct.
If the seasonal effect is that you have more of something in the season than normal then you use
raw data - mean seasonal effect = seasonally adjusted data
If the seasonal effect is that you have a factor increase in the season then you use
raw data / mean seasonal effect = seasonally adjusted data
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