Master of Economics

The Master of Economics is a two year program in advanced studies in economics and econometrics. It provides training in critically reading the literature and experience in undertaking independent research. The program is ideal for those who wish to acquire the skills needed to practice as a professional economist in the public or private sectors. The program also provides a foundation to undertake further study at the Ph.D. level. Graduates of the Master of Economics will have detailed knowledge of the most recent research in the disciplines of economics and econometrics and will have developed the skills needed to make their own contributions to that research.

1. Learning Goal

Graduates of this degree will be critical thinkers in relation to microeconomics, macroeconomics and econometrics.

Learning objectives to achieve this goal

On successful completion of this degree students will be able to:

• Describe and explain the fundamental principles influencing markets and managing organizations;
• Evaluate the impact of a variety of cultural and environmental factors on economic policy and business decisions; and
• Interpret and critically evaluate articles in the economics research literature.

2. Learning Goal

Graduates of this degree will be analytical in the application of economics and econometrics theory, knowledge, principles, techniques and data.

Learning objectives to achieve this goal

On successful completion of this degree students will be able to:

• Explain and critically analyse factors that influence economic decision making in firms and government;
• Identify strategic issues and solutions in relation to economic problems and activity within firms and government; and
• Apply knowledge of theory to analyse real and hypothetical problems in different markets both domestically and internationally.

3. Learning Goal

Graduates of this degree will be independent in their choice, planning, implementation and reporting of an empirical project involving the application of economic analysis and econometric techniques.

Learning objectives to achieve this goal

On successful completion of this degree students will be able to:

• Apply basic mathematical techniques to analyse business data;
• Evaluate the applicability of various theories and techniques to either economic policy or business decision making related problems;
• Employ a range of tools of analysis pertinent to the evaluation of evidence in economic policy and business sectors, including statistical reasoning, and the use of econometric and/or mathematical computer software;
• Use evidence based research techniques to support policy or business decisions; and
• Apply ethical principles and core economic ideas to address real world issues and problems.

4. Learning Goal

Graduates of this degree will be problem solvers capable of explaining, applying and critically evaluating the use of economic and econometric models for description and hypothesis testing, forecasting, assessing different business decision options and different government policy options.

Learning objectives to achieve this goal

On successful completion of this degree students will be able to:

• Describe the core areas of economics and relate to those areas economic principles, theories and models;
• Analyse and evaluate the key hypotheses, forecasts and options in either economic policy or business decision making; and
• Critically analyse economic policy or business decision making problems and apply relevant models and theories to generate effective solutions.

Year 1

The first year of the Master of Economics consists of eight semester-length subjects comprising two core economics subjects, an econometrics subject and five elective subjects.

Year 2

The second year of the Master of Economics consists of eight semester-length subjects comprising two core economics subjects, an econometrics subject, three elective subjects and the (double subject) Research Report.

Year 1

The first year of the Master of Economics consists of eight semester-length subjects comprising two core economics subjects, an econometrics subject and five elective subjects.

Two core economics subjects:

One of the following econometrics subjects:

Five elective subjects:

Selected from third year (level three), fourth year (level four), and advanced offerings of the Faculty as approved by the Academic Director of the program. An elective subject may not be taken if a candidate has previously completed a subject of similar content. Please see the Master of Economics elective list here.

Year 2

The second year of the Master of Economics consists of eight semester-length subjects comprising two core economics subjects, an econometrics subject, three elective subjects and the (double subject) Research Report*.

Two core economics subjects:

One of the following econometrics subjects:

Students who have completed ECOM90013 Econometric Techniques in the first year of their Masters are permitted to enrol in either ECOM90005 Advanced Econometric Techniques, ECOM90007 Macroeconometrics, ECOM90008 Microeconometrics, ECOM90010 Bayesian Econometrics, or ECOM90011 Financial Econometrics. Students who have not completed ECOM90013 Econometric Techniques in the first year of their Masters must do so in Year 2.

Captone subject

Students must enrol in this subject in both Semester 1 and Semester 2 of a single calendar year:

*Students who have already completed a research project/component that accounts for at least 25% of their year’s work during a four-year Honours degree in economics may be eligible for an exemption from ECON90007 Economics Research Report. An exemption will normally only be considered if a grade of at least an equivalent University of Melbourne H2A (75%) was achieved and if the four-year Honours degree in economics was completed no more than 2 years prior to entry into the second year of the Masters program. Students who are eligible for an exemption from ECON90007 Economics Research Report will be able to choose 2 alternative 12.5 point subjects in consultation with the Masters of Economics Program Director.

Three elective subjects:

Three Masters-level elective subjects from the Department of Economics. An elective subject may not be taken if a candidate has previously completed a subject of similar content. Please see the Master of Economics elective list here.

1. In order to be considered for entry, applicants must have completed:

• an undergraduate or postgraduate degree with a strong analytical or mathematical component and with a weighted average mark of at least H2A (75%);
• a personal statement outlining why they wish to be considered for the course; and
• the Graduate Record Examination (GRE) unless the applicant has completed an undergraduate degree in Australia or New Zealand or met one of the approved conditions for GRE exemption.

Meeting these requirements does not guarantee selection.

2. In ranking applications, the Selection Committee will consider:

• prior academic performance;
• the GRE score unless the applicant has completed an undergraduate degree in Australia or New Zealand or met one of the approved conditions for GRE exemption; and
• the personal statement.

3. The Selection Committee may seek further information to clarify any aspect of an application in accordance with the Academic Board rules on the use of selection instruments.

4. The minimum English language requirements for this course are Band 6.5.

Notes:

1. To meet the analytical or mathematical prerequisite requirements, applicants with an economics background will normally be required to have a major in economics including calculus-based economics subjects plus an econometrics subject with a weighted average mark of at least H2A (75%) across the major.
2. Applicants from a non-economics background require an undergraduate major of a mathematical/analytical nature including calculus, linear algebra and statistics subjects with a weighted average mark of at least H2A (75%) and will also be required to have completed microeconomics and macroeconomics subjects at least at the second year level.
3. Students who discontinue from the Master of Economics but have successfully completed the requirements of the Graduate Diploma in Economics will be eligible to receive the Graduate Diploma in Economics as an exit award.
4. Applicants with an honours degree in economics with a weighted average mark of at least H2A (75%), or a relevant postgraduate degree with a weighted average mark of at least H2A (75%), who have completed subjects which satisfy the prerequisites for both the core and quantitative second year subjects in the Master of Economics may be awarded up to 100 points of credit into the Master of Economics.

The Faculty of Business and Economics welcomes applications from students with disabilities. It is University and Faculty 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 Faculty’s programs.

The BCom and Masters degrees of the Faculty of Business and Economics equip graduates with the knowledge and technical skills necessary to understand and participate in the modern business world. The degrees include the following academic requirements for study:

(1) The ability to explain and evaluate concepts, theories, institutional arrangements and operations of modern mixed economies;
(2) The ability to critically evaluate the economy, commerce and business in the broader social and political context;
(3) The ability to explain and apply concepts across a range of commerce and business disciplines in solving business and policy problems; and
(4) The ability to contribute positively to the development of organisations and society in relation to business, government and the commercial professions.

All students of the Faculty’s courses must possess intellectual, ethical, and emotional capabilities required to participate in the full curriculum and to achieve the levels of competence required by the Faculty. Candidates for the BCom degree and for FBE Masters degrees must have abilities and skills in communication; in conceptual, integrative, and quantitative dimensions; and in behavioural and social dimensions.

I. Communication: The student must be able to communicate effectively and efficiently in oral and/or written form. A student must have the ability to clearly and independently communicate knowledge and application of a discipline, principles or practices during assessment tasks, and in some discipline streams.

II. Intellectual‐Conceptual, Integrative and Quantitative Abilities: The student is expected to have the ability to develop problem‐solving skills and demonstrate the ability to establish study plans and priorities. These abilities include measurement, calculation, reasoning, analysis, and synthesis. Problem solving requires all of these intellectual abilities. Students should also have the ability to comprehend complex disciplinary and cross disciplinary information related to the BCom and Masters degrees.

III. Behavioural and Social Attributes: A student must possess behavioural and social attributes that enable them to participate in a complex learning environment and the emotional health required for full utilisation of his/her intellectual abilities. Students are required to take responsibility for their own participation and learning. They also contribute to the learning of other students in collaborative learning environments, demonstrating interpersonal skills and an understanding of the needs of other students. Assessment may include the outcomes of tasks completed in collaboration with other students. Integrity, concern for others, interpersonal skills, interest, and motivation are all personal qualities that are deemed necessary for students enrolled in FBE courses.

Students who feel their disability will prevent them from participating in tasks involving the inherent academic requirements of the BCom and FBE Masters courses are encouraged to contact the Disability Liaison Unit. Adjustments can be provided to minimise the impact of a disability, but students should participate in the course in an independent manner.

On successful completion of this degree graduates will be:

• Receptive to alternate ideas through a review of the literature and through class participation and assessment;
• Ethical in their approach to research and work practices;
• Advanced in their use, critical evaluation and testing of economics models and in forecasting and assessing business and government policy options;
• Adept in statistical reasoning through completion of core econometrics subjects in the degree;
• Skilled in undertaking independent research in economics and econometrics;
• Advanced in problem solving through their understanding of macroeconomic and microeconomic issues and able to apply economic theory and statistical techniques to economic policy and business decision making;
• Critically analytical through the evaluation of ideas, views and evidence contained in the economic and econometric research literatures;
• Skilled in working effectively with computer software for the analysis of data;
• Adept at retrieval, summary and interpretation of economic and econometric information through class exercises and assessment;
• Able to apply and synthesise economic and econometric ideas, theory, models and evidence to domestic and international economic issues;
• Independent and effective in communication of ideas; and
• Collaborate and be effective in team work.

On successful completion of this course students should have improved the following generic skills:

• Critical evaluation of ideas, views and evidence in support of an argument or proposition;
• Problem solving in economics and business decision making through the application of appropriate economic theories, principles, and the econometric analysis of data;
• Written and oral communication of economic related ideas, theories and solutions to peers and the wider community;
• Ability to synthesize ideas, theories and data in developing solutions to economic problems;
• Statistical reasoning through completion of core econometrics subjects in the degree;
• Ethical approaches to research and practice through a knowledge of economic best practice;
• Research including the retrieval of information from a variety of sources;
• Receptiveness to ideas and independence in thinking; and
• Teamwork through collaborative exercises in tutorials and assessment.

Students can only commence this program in Semester 1 of any year.

Assessment

Students must pass all subjects to qualify for the Master of Economics; 100 points in the first year and 100 points in the second year.

Graduate Diploma in Economics

Students enrolled in the Master of Economics who are either unable, or who choose not to continue with their studies, may be eligible to exit with a Graduate Diploma in Economics. Students must have successfully completed the eight subjects which comprise Year 1 of the Master of Economics to be awarded the Graduate Diploma in Economics.

Doctoral Candidates

Doctoral candidates who have enrolled directly into Year 2 of the Master of Economics and who have satisfied the following requirements may be eligible for an exemption from ECON90007 Economics Research Report:

• Completion of a research project/component that accounts for at least 25% of their year's work at 4th year or at Masters level.

Students granted an exemption for ECON90007 Economics Research Report will be able choose two alternative 12.5 point subjects, in consultation with the Master of Economics Program Director/PhD Director.