Econ 452 Section 8 - STATA
Connor Cole
October 26, 2015
Random Numbers in STATA
Sometimes you may want to generate draws of numbers from certain statistical distributions, either
to create Monte Carlo simulations or create subsamples from your data. Of co

Economics 452 Fall 2015
Professor Jeffrey Smith
Lecture: Multiple Regression Further Issues
Version of November 17, 2015
Data scaling
Introduction
We have already considered data scaling briefly in the context of the simple linear
regression model. Nothin

Economics 452 Fall 2015
Professor Jeffrey Smith
Lecture: Multiple Linear Regression OLS Asymptotics
Version of November 1, 2015
Introduction
Asymptotics are concerned with the properties of estimators as the sample size gets ever
larger. In general, this

Economics 452 Fall 2015
Professor Jeffrey Smith
Lecture: Multiple Regression Inference
Version of November 1, 2015
Introduction
We now consider how to make inferences about the population parameters of the
multiple regression model. This will enable us to

Economics 452 Fall 2015
Professor Jeffrey Smith
Lecture: Qualitative Variables
Version of November 30, 2015
Introduction
In this chapter, we examine variables that take on only the values zero or one.
These are sometimes called binary variables, or dummy

Economics 452 Fall 2015
Professor Jeffrey Smith
Lecture: Social Experiments
Version of November 16, 2015
Notation
The Mill-Frost-Fisher-Neyman-Roy-Quandt-Rubin potential outcomes framework
Let Y1 denote the outcome in the treated state
Let Y0 denote the o

Economics 452 Fall 2015
Professor Jeffrey Smith
Lecture: More on Specification and Data Problems
Version of November 29, 2015
Introduction
This lecture covers a number of issues related to model specification.
The first three issues are all related to wha

Economics 452 Fall 2015
Professor Jeffrey Smith
Lecture: Simple Linear Regression
Version of September 25, 2015
Definition of the simple regression model
The basic equation for the simple linear regression model is given by:
yi = 0 + 1 xi + u i ,
where yi

Economics 452 Fall 2015
Professor Jeffrey Smith
Lecture: Fundamentals of probability (Appendix B)
Version of September 7, 2015
Random variables and their probability distributions
Definitions
Define an experiment: a procedure that can be infinitely repeat

Economics 452 Fall 2015
Professor Jeffrey Smith
Lecture: Simple Panel Data Methods
Version of November 29, 2015
This version of the lecture covers only Sections 13.1 to 13.3 in the Wooldridge book.
Introduction
This chapter considers the basics of what yo

Economics 452 Fall 2015
Professor Jeffrey Smith
Lecture: Fundamentals of mathematical statistics (Appendix C)
Version of September 7, 2015
Populations, Parameters and Random Sampling
We now turn to consideration of statistical inference.
This means obtain

Thermodynamics 1
Fall 2016
Instructor: Don Siegel
What is thermodynamics?
The science that deals with heat and work
and the properties of substances in relation to heat
and work
Alternatively, its the science of energy and entropy
Topics to be Covered
In

Economics 452 Fall 2015
Professor Jeffrey Smith
Lecture: Multiple Regression Estimation
Version of October 13, 2015
Motivation for Multiple Regression
The basic idea of the model
We now move on to the multiple linear regression model. This model generaliz

Economics 452 Fall 2015
Professor Jeffrey Smith
Lecture: Heteroskedasticity
Version of November 16, 2015
Introduction
Heteroskedasticity means that the variance of the error term in the linear regression
model differs across observations in the data, usua

Econ 452 Section 3 - STATA
Connor Cole
October 1, 2015
Variable Management, Continued
The Egen Command, Continued
As we discussed in the previous section, the egen command allows creation of new variables on the
basis of information over a whole column or

Econ 452 Section 7 - STATA
Connor Cole
October 23, 2015
Regression, Continued
T-Tests Continued
In our last section, we motivated t tests by assuming that errors were normally distributed, in which
case (assuming that observations are iid) the following i

Econ 452 Section 8 - Asymptotics Examples
Connor Cole
October 30, 2015
An Aside on Asymptotics
NOTE: This material is meant to elaborate on what was discussed in class and is
completely optional.
Previously, we began talking about regression inference by

Econ 452 Section 6 - STATA
Connor Cole
October 15, 2015
Regression, Continued
Regression Inference
Having gone over the basics of interpreting regression output, lets be more specic about regression inference. First, its worth noting that regression infer

Econ 452 Section 10 - STATA
Connor Cole
November 13, 2015
Squared Variables
As we discussed in class, sometimes we want to include squared values of variables, either because
the theory seems to suggest that there should be squared values (for example, th

Econ 452 Section 8 - Unbiasedness and Consistency
Connor Cole
October 30, 2015
An Aside on Unbiasedness and Consistency
NOTE: This material is meant to elaborate on what was discussed in class and is
completely optional.
We have learned in class that assu

Econ 452 Section 11 - STATA
Connor Cole
November 20, 2015
2
Adjusted R2 (Or R )
As we discussed in class, R2 is:
R2 =
=1
n
y
2
i=1 (i y )
n
2
i=1 (yi y )
n
(i yi )2
y
i=1
n
2
i=1 (yi y )
Or:
SSM
SST
SSE
=1
SST
R2 =
2
Adjusted R2 , or R can be computed as

Econ 452 Section 8 - STATA
Connor Cole
November 5, 2015
Monte Carlo Simulations in STATA
NOTE: This material on Monte Carlo simulations is meant to elaborate on what was
discussed in class and is completely optional.
Last week we saw a few examples of wha

Econ 452 Section 2 - STATA
Connor Cole
September 18, 2015
Basic Data Management
Dropping Observations
In our problem sets, we will often drop observations if they are missing values for variables of
interest (note that some researchers, instead of droppin

Econ 452 Section 5 - STATA
Connor Cole
October 8, 2015
Using STATA as a Calculator
If you would like to use STATA as a calculator for scalars, you can use the display command.
Just prex some calculation you would like to run using the display command:
dis

Econ 452 Section 4 - STATA
Connor Cole
October 1, 2015
Basic Statistical Tools, Continued
Chi-Squared Tests and Frequency Tables
Again, the document available on Canvas should describe how chi-squared tests work. Chi-squared
tests with tables assess wheth

Econ 452 Section 1 - Getting Started with STATA
Connor Cole
September 11, 2015
Accessing STATA
Most of the public computers at the University of Michigan have STATA on them, along with a
host of other statistical packages. If you are working o campus and