Econometrics is the application of statistical methods to economic data in order to give empirical content to economic relationships.
This course introduces econometric methods and how they are applied to estimate and test the unknown parameters of economic relationships. The course mainly focuses on the classical linear regression model and also introduces econometric methods used in the analysis of time series and panel data models.
Students are exposed to the techniques by which economists and econometricians carry out empirical studies, and are exposed to the necessary element of uncertainty and randomness that needs to be acknowledged and quantified. Students are invited to consider and practise the major uses of econometrics: describing economic reality and testing hypotheses of economic theories.
The course lays the foundations for further training in economics and econometrics.