The module develops further models in econometrics that are important to an understanding of both modern economic literature and in conducting the student's own empirical investigations. This will include further development of time series models, panel data, simultaneity and exogeniety, and limited dependant variable models.

Throughout the module recourse to data and examination of studies will provide practical experience of statistical software, including Microfit and Limdep, and the interpretation of its output.

The module will consist of lectures to introduce the material, explain difficult models and problem answering sessions. There will be workshop sessions on using appropriate software to estimate economic relationships. Students will spend 7 hours per week on independent study of the theory and in empirical and analytical exercises relating to the organisation and interpretation of data using economic models.

Econometric Software
LIMDEP
MICROFIT

Greene, W.H. (2000). Econometric Analysis, 4th edition. Macmillan, New York.
Harris, R. & Sollis, R. (2003). Applied Time Series Modelling & Forecasting. Wiley.
Verbeek, M. (2004). Modern Econometrics. John Wiley, Chichester.

The two assignments will examine the use of different econometric models. They will involve a practical exercise. There will be use of an econometric package to analyse the data. In assessing these assignments the examiners will expect to see a discussion of the model and estimated parameters estimated by a suitable method; some analysis of the apparent success of the model as a framework of analysis; an interpretation suitable for non specialist reader and a well organised report. For a distinction mark the examiners would expect all of the above but also a clear indication that the student fully understood the procedures carried out and that no suitable standard procedure has been omitted. In addition the examiners would expect some extra feature which might be an imaginative individual approach in terms of, either method or interpretation, or by suitable comparison to literature not specifically covered in the module.