Seasonally Adjusted Annual Rate

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Seasonally Adjusted Annual Rate

A rate used to reduce seasonal noise on a company's sales or revenue information. For example, many retail companies tend to have higher sales figures at the end of the calendar year because of the holiday season. Comparing the raw data may make the company's sales look better than they are. The SAAR is designed to even out that trend. It is calculated by taking the raw annual rate for a given month and dividing by a seasonality factor.
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adults in the workforce, aged 18 and older, who are underemployed and unemployed, without seasonal adjustment.
The focus of this article is the construction of the transitional time series that were used to derive seasonal factors for seasonal adjustment of the NAICS and SOC-based ECI, published beginning in April 2006 with the release of the March 2006 ECI estimates.
The middle figure at right plots the quarterly seasonal adjustments to real GDI.
However, the direct seasonal adjustment process may not yield figures that possess additive consistency.
Seasonal adjustment is extraordinarily consequential.
Economists use seasonal adjustment to remove or discount normal seasonal changes, thus making underlying trends easier to identify.
For example, if swimwear sales in summer were higher than those in the winter, a seasonal adjustment could be made to look for any underlying trends.
Seasonal adjustment is a procedure that removes from an economic data series the effects of events that follow a more or less regular pattern each year.
The ministry amended preliminary and revised figures for industrial production for the period from January last year to February this year as part of its periodic review of seasonal adjustment methods.
When appraisers must reach back several months for comparable sales, it is doubtful that they consider making a seasonal adjustment to estimate what a comparable would sell for flit sold in the current month, beyond some general market trend for appreciation or depreciation patterns that attempts to adjust for the average annualized time impact.
The graphic below shows data on Arkansas home sales after seasonal adjustment.