Course Syllabus

ECON4355.001:
ECONOMETRICS
Spring 2011

Professor: Michael Tiefelsdorf GR 2.120, (972) 883-4954, tiefelsdorf@utd.edu. For

course related regular communications please use eLearning’s email system.
Office Hours: Wednesdays 4:00 – 5:00 pm, when office door is open, or by
appointment.

TA: Harini Sridharan GR3.414, hxs065100@utdallas.edu.

Office Hours: Tuesdays 2:30-4:30 pm.

The Home Page for the Course is on eLearning.

Computer Note: Our class will be using the open-source statistical software R-project,
which is available in the all EPPS computer lab. You must have a Campus id and
password to use these computers.

Course Pre-requisites, Co-requisites, and/or Other Restrictions

(including required prior knowledge or skills)

The prerequisite for econometrics is an understanding of the material covered in ECON

3304, Basic Techniques for Economic Research, or its equivalent, or permission of the
instructor. In addition, it is assumed students have taken the principles of economics
courses and, preferably, at least one intermediate theory course. Basic algebra,
calculus, and statistics will be used throughout the semester.

A review of basic probability theory, statistics and matrix algebra will be provided.
However, these reviews cannot substitute a full-fledged introductory courses that
participants should have taken prior to attending ECON4355

Course Description

The subject of econometrics deals with the measurement of economic relationships. We

will develop in class, using economic theory, statistics, and mathematics, techniques that
can be used to estimate economic relationships. A major focus will be on how a
researcher can confront a theory with data and draw some type of conclusion. While the
emphasis is on economic analysis, the techniques are also used in many other
disciplines such as political science, management, sociology and psychology.

The core of the course will be the study of regression analysis. This method seeks to
determine the influence of one or more variables on a variable of interest. We will
examine the theory behind regression, the interpretation of the estimated parameters,

Course Syllabus – Tiefelsdorf – Econ 4355 Page 1

and the testing of hypotheses about the parameters. This is both a theoretical and
applied course, which requires a significant amount of time spent on the computer.

Student Learning Objectives/Outcomes

 Introduce the statistical technique of regression analysis,

 Analyze the assumptions, strengths and weaknesses of the Classical Linear
Model.
 Use regression analysis to test hypotheses about economic behavior, with
examples drawn from economics and other social sciences.

Required Textbooks and Materials

Textbooks: Hamilton, Lawrence C., 1992. Regression with Graphics. A Second

Course in Applied Statistics. Duxbury Press. (Chapters 1-4, plus
appendices)

Fox, John, Weisberg, Sanford, 2011. An R Companion to Applied

Regression. 2nd edition. Sage (optional)

Try to get a used and discounted version of Hamilton’s book.

Data: The course web site has the data that accompanies the textbook as well
as R-scripts used in this course. Other data and programs will be placed
there during the course of the semester.

Other: The R-project statistical package will be introduced and utilized for data
organization, estimation, hypothesis testing and assignments. Students
will be expected to master basic R-project statistical and programming
commands and to use R-project for their semester projects. R-project will
be available in the computer labs, but it can also be freely downloaded
from www.r-porject.org.

Tentative Schedule – Fall 2010

Readings are from the Hamilton’s text and are listed for when they are supposed to have
been read. It is expected that the accompanying reading posted on eLearning will have
been at least reviewed prior to class, and then practiced after class (if not before). Lecture
notes are made available prior to each lecture and the participants are expected to review
these notes carefully.

Dates Topics Lab Due Dates

Jan 10 Introduction
Jan 17 Martin Luther King Jr. Holiday
Jan 24 Working at the R command prompt
Jan 31 Typesetting Equations / Review: Probability
Feb 07 Review: Sampling Lab01
Feb 14 Review: Estimation & Test Theory

Course Syllabus – Tiefelsdorf – Econ 4355 Page 2

 Feb 21 Hamilton Chapter 1 Lab02
Feb 28 Mid-Term
Mar 7 Review: Matrix Algebra
Mar 14 Spring Break
Mar 21 Hamilton Chapter 2 Lab03
Mar 28 Hamilton Chapter 2(cont.)
Apr 04 Hamilton Chapter 3 Lab04
Apr 11 Hamilton Chapter 3 (cont.)
Apr 18 Hamilton Chapter 4 Lab05
Apr 25 Hamilton Chapter 4 (cont.)
May 02 Review Lab06
Final Exam according to Registrar’s Schedule

Grading Policy
Tasks Policies Total
Percentage
6 Labs @ 6 The weakest lab will be upgraded to 6 percent 36 %
percent
1 mid-term Open book and notes. You need to master the 24 %
material to stay within the allowed time-frame.
1 final exam Open book and notes. You need to master the 40 %
material to stay within the allowed time-frame.
Potentially Issued only if attendance slips. Grade
random distribution
pop quizzes will be adjusted accordingly.

Course & Instructor Policies

Make-up exams/Late assignment policy: Exam dates will not be changed; I will adjust
material for the exam if we get behind. Make-up exams will only be given in extenuating
circumstances with the exam itself likely being more difficult per the additional time and
information available. Alternatively there may be a reweighting of future, untaken
exams.

Extra assignments: No extra credit assignments will be given and late work will be
penalized heavily and not accepted after we have gone through the answers.

Plagiarism: The university’s rules of plagiarism will be strictly enforces. While you are
encourage discussing the labs with other course participants to enhance your
understanding of the course material, the labs must be answered individually by each
course participants. The labs prepare you for the exams and give you useful technical
skills.

Course Syllabus – Tiefelsdorf – Econ 4355 Page 3

Class attendance: Class attendance is expected. Students, who consistently miss
classes, are on their own and will be reported to their program director. Should a pattern
of missed attendance emerge, grade relevant pop quizzes will be administered at
random.

Decorum during class:

 No cell phones on during class or text messaging.
 Respect the lab’s no food and drink policies.
 Respectful interaction among all participants.
 No laptops in use other than for class-related activities – you may use laptops,
but when I walk around the room I don’t expect to see e-mail, games, social
network sites, etc.
 No gum, please

Additional information relating to University policy on “Religious Holy

Days”, “Grade Appeals” “Disability Services,” “Student Conduct,” etc. can be
found at:
http://go.utdallas.edu/syllabus-policies

These descriptions and timelines are subject to change at the discretion of the
Professor.

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