INTRODUCTION TO ECONOMETRICS

The course aims to provide the student with the tools to understand what a research question is in economics, how to identify a causal relationship, and the basic tools to be able to estimate it.

1. Knowledge and understanding
- Knowing how to describe and identify a causal relationship between variables
- Knowing how to describe the mechanism needed to identify this regression
- Know the properties and fields of application of a linear regression
- Know the basic tools of time Series analysis

2. Ability to apply knowledge and understanding
- Given an economic problem, knowing how to represent the equivalent econometric model and knowing how to evaluate if there is an identifiable causal relationship
- Knowing how to implement linear regression in Stata
- Knowing how to implement a time series analysis in Stata

3. Judgment skills
- Knowing how to identify the most appropriate econometric analysis tool to address a specific research question by choosing from those proposed in class

4. Communication skills
- Knowing how to describe and interpret the results of an econometric analysis and its economic implications
- Knowing how to interact with the teacher, with the other students and with the tutor in a critical and respectful way.

5. Learning skills
- Knowing how to critically consult the reference texts and the bibliography contained therein.
- To be able to modify and expand the Stata and Python code examples provided during the course

Having achieved the educational objectives of Mathematics 1 and 2, Statistics 1 and 2, Introduction to coding, Political Economy 1 and 2 and Economic Policy.

research questions (NHK Ch 1 to 2)
Describing variables and relations (NHK Ch 3 to 4)
Identification (NHK Ch 5)
Causal Relations (NHK Ch 6 to 9, excluding 9.4 and 9.5)
Treatment effects (NHK Ch 10)
Linear regression (NHK Ch 13 excluding 113.2.6, 13.4.1, 13.4.2, 13.4.3)
Fixed Effects (NHK Ch 16)
Event Studies (NHK Ch 17 excluding 17.3.1)
Difference in Differences (NHK Ch 18)

NHK: Nick Huntington-Klein, "The Effect An Introduction to Research Design and Causality", 2021 Chapman and Hall/CRC

The book is available online and free: https://theeffectbook.net/

on-PC exam at the end of the course. The test will include coding in Stata. During the course, exercises will be proposed to be carried out at home and delivered. These exercises will contribute to the final grade of the course. The exam will be considered passed (18) if the student is able to write at least one relevant piece of working code and if he is able to answer some of the questions demonstrating a critical attitude.

Lectures (70% standard, 30% on Stata), Practice sessions (20% standard, 80% in Stata). The course requires that students prepare some material at home before classes. that material will then be used in class (flipped classes)

English

written