ECON 570:  Economic Applications of Statistical Analysis

 

(Last Updated: Dec 06, 2010)

                                       

 

Instructor:                    Saraswata Chaudhuri

                                       Email: saraswata_chaudhuri@unc.edu

                                       Office: Gardner 305 B

 

Office Hours:                Tu Thr, 2:00 – 4:00 (just walk in)

                                       Tu, Thr, 11:15 – 12:15 (by appointment)  

                                                 

Lecture Hours

And Location:             Tu Thr, 12:30 – 1:45, Gardner 307

 

Textbook:                    “Introduction to Econometrics” (3rd edition) by Christopher Dougherty     

 

Software:                      STATA                          

 

Prerequisite:                ECON 400

 

Course Objective and Description:

This course is designed to teach you how to conduct meaningful inference based on data. While the primary focus of the course is empirical, it is important for you to be familiar with the theory behind the empirical techniques. Hence the lectures will cover materials that are both applied and theoretical in nature. Application of the different techniques learned in this course is not restricted to the field of Economics.

 

Grading Policy:

Your final grade will be based on 8 homeworks, a group project, two midterms and a final examination. The distribution of weights is:

Homework    20%

 Midterm 1     20%

 Midterm 2     20%

 Project          20%

 Final             20%

 Total            100%

 

I will use the following algorithm, without any exception, to assign the letter grades based on your total score:

 

 

Score out of 100

>= 90

89 – 85

84 – 80

79 – 75

74 – 70

69 – 65

64 – 60

59 – 55

50 – 54

< 50

Letter Grade

A

A-

B+

B

B-

C+

C

C-

D

F

 

 

 

Homework Submission Policy:

You are welcome to discuss the homework with your classmates, but each enrolled student should submit a separate copy of the solutions to the assigned problems. However, it is best to keep in mind that your classmate is not going to take the midterm and final exams for you, so try to solve the homework on your own before you discuss them with other people. This should be a good practice for the exams.  If you cannot attend the lecture when the homework is due, then make sure to ask someone else to turn in your homework for you. I will not accept any late submission. To avoid annoying my grader, please write your solutions neatly and attach all the pages of your homework in order.

 

Group Project:

The idea behind the group project is to train you for collaborative work, which is the norm in most industries and fields of research. Depending on the number of groups (none should have more than 5 students) there is a possibility of oral presentation of the project. Note that an oral presentation of the project proposal and a written (final) report of the project are mandatory, but you will submit a single project report for each group. We will discuss more on the project on the first day of the lecture.    

 

 

Some Useful Links from Dr. Stephen Lich-Tyler’s ECON 570 Class:

 

(1)   Useful Stata commands

(2)   How to order Stata with the student discount

(3)   How to import CPS data into Stata

(4)   How to import NLSY data into Stata

(5)   Descriptions of micro-data sources

(6)   Some links for additional data sources

 

 

Tentative Schedule:

 

Date

Lecture

Reading

Homework

Project

Aug 24

Introduction and Review of Statistics

Review Chapter

 

 

Aug 26

Review of Statistics

Review Chapter

 

Aug 31

Idea behind least squares

Chapter 1

HW – 1 assigned

 

Sep 2

Simple Regression

and STATA tutorial

Chapter 1

 

Sep 7

Simple Regression and Hypothesis Testing

Chapters 1 and 2

HW – 1 due

HW – 2 assigned

 

Sep 9

Hypothesis Testing

Chapter 2

 

Sep 14

Multiple Regression

Chapter 3

HW – 2 due

HW – 3 assigned

 

Sep 16

Other Issues with Regression

Chapters 4 and 5

 

Sep 21

Other Issues with Regression

Chapters 4 and 5

HW – 3 due

Stata do file

 

Sep 23

Midterm 1

Based on Chapters 1 – 5

Solution to  Midterm 1

Let me know your team

Sep 28

Heteroskedasticity

Chapter 7

HW – 4 assigned

 

Sep 30

Heteroskedasticity

Chapter 7

 

Oct 5

Endogeneity and Instrumental Variables

Chapters 8 and 9

HW - 4 due -- Stata

 

HW – 5 assigned

Oct 7

Endogeneity and Instrumental Variables

Chapters 8 and 9

Preliminary Project Proposal Due

Oct 12

Endogeneity and Instrumental Variables

Chapters 8 and 9

 

 

Oct 14

Discussion on Project and Review for Midterm

HW – 5 due -- Stata

 

Oct 19

Midterm 2

Based on Chapters 7 – 9

Solution to  Midterm 2

 

Oct 26

Binary Choice Models

Chapter 10

HW – 6 assigned

Final Project Proposal Due

Oct 28

Binary Choice Models

Chapter 10

 

Nov 2

Introduction to Time Series

Chapter 11

 

Be ready to present with the regression results from your project. Write a two page summary of the results and let me know if you have any questions.

Nov 4

Regressions with serially correlated errors

Chapter 12

HW – 6 due

Stata

Nov 9

Regressions with serially correlated errors

Chapter 13

HW – 7 assigned

Nov 11

Panel Data

Chapter 14

Nov 18

Panel Data

Chapter 14

HW – 7 due

Stata

HW – 8 assigned

Nov 23

Panel Data and Discussion on Project

Chapter 14

Nov 30

Present your results from the project (along with a short introduction, and discussion on econometric methodology and conclusion). 25 minutes for each group.

 

HW – 8 due

Stata    

Dec 2

Dec 7

Review for Final

Chapters 1 – 14

Final project report due