Introductory Econometrics

This subject has the following teaching availabilities in 2016:

170 hours

One of the following:

Please refer to Prerequisites and Corequisites.

Students may not gain credit for both ECOM20001 Introductory Econometrics and ECOM30001 Basic Econometrics.

For the purposes of considering request for Reasonable Adjustments under the Disability Standards for Education (Cwth 2005), and Student Support and Engagement Policy, academic requirements for this subject are articulated in the Subject Overview, Learning Outcomes, Assessment and Generic Skills sections of this entry.

It is University policy to take all reasonable steps to minimise the impact of disability upon academic study, and reasonable adjustments will be made to enhance a student's participation in the University's programs. Students who feel their disability may impact on meeting the requirements of this subject are encouraged to discuss this matter with a Faculty Student Adviser and Student Equity and Disability Support: http://services.unimelb.edu.au/disability

Topics include review of statistics; F and X 2 distributions; review of simple linear regression model; multiple linear regression model; hypothesis testing, forecasting, diagnostics with regression models (including heteroskedasticity, serial correlation and model specification). Examples drawn from economics, finance, accounting, marketing and management will be illustrated using EVIEWs.

• Apply the least-squares method of estimation to the context of the simple linear regression model.
• Apply the principles of the least-squares method of estimation and inference to the multiple linear regression model.
• Apply EViews to estimate, test hypotheses and forecast in the context of the linear regression model.
• Explain various problems that arise from applying the linear regression model to data, including multicollinearity, specification errors, heteroskedasticity, nonstationarity and autocorrelation.

A 2-hour end-of-semester examination (65% or 75%), an optional mid-semester multiple choice test in week 5 (0% or 10%), Assignment 1 (10%) due week 8: 10 pages A4, Assignment 2 (10%) due week 12: 10 pages A4, and tutorial attendance and participation (5%). The final mark will be calculated by weighting the end-of-semester exam at 65% and the mid-semester test at 10% OR by weighting the end-of-semester exam at 75% and the mid-semester test at 0%, whichever gives the higher mark.

You will be advised of prescribed texts by your lecturer.

This subject potentially can be taken as a breadth subject component for the following courses:

• Bachelor of Arts
• Bachelor of Biomedicine
• Bachelor of Environments
• Bachelor of Music
• Bachelor of Science
• Bachelor of Engineering

You should visit learn more about breadth subjects and read the breadth requirements for your degree, and should discuss your choice with your student adviser, before deciding on your subjects.

• High level of development: written communication; collaborative learning; problem solving; team work; statistical reasoning; application of theory to practice; interpretation and analysis; critical thinking; synthesis of data and other information; use of computer software.

• Moderate level of development: oral communication; evaluation of data and other information; accessing data and other information from a range of sources; receptiveness to alternative ideas.