Tutorial Notes for ECON0701
Set By Beely Mak
ECON 0701: Introductory Econometrics
Tutorial Notes 1 (Chapter 2)
Revision on Key Concepts
(1) Simple Linear Regression Model
(A) Definition
Consider two variables with its population, say
and , if we are inter
University of Hong Kong
Introductory Econometrics (ECON0701), Fall 2012
Assignment #4: Due October 26, 2012
1. (4.6) In lecture, we used as an example testing the rationality of assessments of housing prices.
In class, we used a log-log model in and . Her
University of Hong Kong
Introductory Econometrics (ECON0701), Fall 2012
Assignment #3: Due October 19, 2012
1. (4.1) Which of the following can cause the usual OLS t statistics to be invalid (that is, not
to have t distributions under 0 )?
(a) Heteroskeda
More about Coefficient Interpretation
(1) For level level model:
We can interpret the result by the following way:
One unit increase in
leads to
units increase in
(2) For level log model:
We can interpret the result by the following way:
One percentage in
University of Hong Kong
Introductory Econometrics (ECON0701), Fall 2012
4 December 2012
Further Issues in Using OLS with Time Series Data
Last time we mentioned how to incorporate highly persistent time series variables into
a regression analysis.
Varia
University of Hong Kong
Introductory Econometrics (ECON0701), Fall 2012
19 October 2012
Multiple Regression Analysis: Inference
Last time we discussed testing hypotheses that involve more than one parameter.
The method is to define a third parameter tha
University of Hong Kong
Introductory Econometrics (ECON0701), Fall 2012
28 September 2012
The Simple Regression Model
Last time, we continued our discussion of the simple regression model.
Even though the simple regression model is a linear model, it ca
University of Hong Kong
Introductory Econometrics (ECON0701), Fall 2012
25 September 2012
The Simple Regression Model
Last time, we introduced the simple regression model.
The simple regression model takes the form
y 0 1 x u
Where 0 and 1 are chosen so th
University of Hong Kong
Introductory Econometrics (ECON0701), Fall 2012
12 October 2012
Multiple Regression Analysis: Inference
Last time, we started to talk about inference and hypothesis testing in the context of a
multiple linear regression model.
Si
University of Hong Kong
Introductory Econometrics (ECON0701), Fall 2012
21 September 2012
Fundamentals of Probability
Last time, we started to review some basic concepts of probability.
One important concept was the concept of expected value the expected
University of Hong Kong
Introductory Econometrics (ECON0701), Fall 2012
18 September 2012
Administrative Matters
The Web page for the course is available at http:/hkuportal.hku.hk/moodle/guest
You will find lecture notes on this page and also the weekly
University of Hong Kong
Introductory Econometrics (ECON0701), Fall 2012
Assignment #1: Due October 5, 2012
1. Let 1 2 be independent random variables that all have the same probability distrib1P
ution, with mean and variance 2 . Let = .
=1
(a) Show that [
Concepts of percentages points
In assignment 3, we have a question of rdintens on ln(sales). When we interpret
the coefficient 1 , we know that with 10% increases in sales, then
rdintens = 0.321 10%
rdintens = 0.032
So, what we can say surely will be 10%
Tutorial Notes for ECON0701
Set by Beely Mak
ECON 0701: Introductory Econometrics
Tutorial Notes 8
Revision on Key Concepts
(1) More about types of time series
There are three types of stochastic process:
(A) Stationary Stochastic Process
The stochastic p