CHAPTER 1
TEACHING NOTES
You have substantial latitude about what to emphasize in Chapter 1. I find it useful to talk about
the economics of crime example (Example 1.1) and the wage example (Example 1.2) so that
students see, at the outset, that econometr
Econ 4060
Introduction to Econometrics
Spring 2013
Assignment 2
Instructions
The goal of this assignment is to have students think about the issues of causality, estimating
relationships, and other various issues related to the basics of econometric analy
Econ 4060
Introduction to Econometrics
Study Guide Exam 1
Spring 2013
Chapters 1 through 3
I. Chapter 1 The Nature of Econometrics
a. What econometrics is
a.i. Use of statistical methods
a.ii. Observational/retrospective data
b. Empirical analysis
b.i. De
Econ 4060
Introduction to Econometrics
Spring 2013
Assignment 4
Instructions
The goal of this assignment is to have students begin working with more complicated functional
forms and binary variables. This assignment will heavily require the use of statist
Econ 4060
Introduction to Econometrics
Spring 2013
Assignment 3 Answer Key
Problems
Chapter 4, Problem 2, Page 159
i.
ii.
Therefore, if ROS increases by 50 points, the percentage increase in salary is only 1.2%,
which is practically speaking, a very small
Econ 4060
Introduction to Econometrics
Spring 2013
Assignment 2 Answer Key
Chapter 2, Problem 6, Page 61 parts (i) and (iii) are required
i. This is an example of a log-log model. Recall, the parameter estimate from a log-log
model is to be interpreted as
Econ 4060
Introduction to Econometrics
Spring 2013
Assignment 1
Instructions
The goal of this assignment is to have students begin thinking about the issues of causality,
estimating relationships, and other various issues related to the basics of economet
Econ 4060
Introduction to Econometrics
Spring 2013
Assignment 1 Answer Key
Chapter 1, Problem 1, Page 17
i. In this particular example, the goal of the experiment would be to keep everything the
same between different groups of students. The only thing th