Qualitative Information
Econometrics
Section 7
Econometrics ()
Qualitative Information
Section 7
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What is a Qualitative Variable?
Denition
A qualitative variable is when a number is used to represent a non-numeric characteristic.
Examples
Gender
Ind
What is Econometrics?
Econometrics
Section 1
Econometrics ()
What is Econometrics?
Section 1
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What is Econometrics?
Econometrics ()
What is Econometrics?
Section 1
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What is Econometrics?
Denition
Econometrics is based upon the development of statist
Probability and distribution
Econometrics
Section 2
Econometrics ()
Probability and distribution
Section 2
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Probability
Random variable
A random variable is one that takes on numerical values and has an outcome that is
determined by an experiment
Ec
Fixed Effects Estimation
Which FE to Use?
Advanced Panel Data Methods
Econometrics
Section 12
Econometrics
Advanced Panel Data Methods
Fixed Effects Estimation
Which FE to Use?
Fixed Effects
Reminder: When to use?
FE is used with panel data when it is bel
Pooled Cross-Sectional Data
Panel Data
Estimating Panel Regressions
Panel Data Methods
Econometrics
Section 11
Econometrics
Panel Data Methods
Pooled Cross-Sectional Data
Panel Data
Estimating Panel Regressions
Data Types
Pooled Cross-Sections
Independent
Serial Correlation and Heterskedasticity
Econometrics
Section 10
Econometrics
Serial Correlation and Heterskedasticity
Serial Correlation
AR(1) Serial Correlation
yt = 0 + 1 zt + ut
if there is AR(1) serial correlation, then
ut = ut1
| | < 1
Econometrics
Heteroskedasticity
Econometrics
Section 8
Econometrics ()
Heteroskedasticity
Section 8
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Heteroskedasticity
Denition
VAR (ui |xi ) = i2
Read: The variance of the error depends on the observed values of xi
Econometrics ()
Heteroskedasticity
Section 8
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