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Introduction to Econometrics

By Prof. Sabuj Kumar Mandal   |   IIT Madras
Learners enrolled: 2057
As the name suggests, the subject econometrics aims to measure economic relationship. Using economic data and applying mathematical and statistical tools, it provides empirical validity of abstract economic theory. However, application of econometrics is not confined in the domain of economics, rather widespread application of econometrics is possible in other social science and pure science domains also. After successful completion of the course, students would be able to formulate econometric model to analyze data and then would be able to establish any cause-effect relationship in their preferred areas of interest like economics, finance, management, engineering and science. An expertise in econometrics increases the job prospect of the students significantly.

INTENDED AUDIENCE
Anyone interested in data analysis
PREREQUISITES : Inferential statistics
INDUSTRIES  SUPPORT     : Banking, Analytics, Audit firms
Summary
Course Status : Completed
Course Type : Elective
Language for course content : English
Duration : 12 weeks
Category :
  • Humanities and Social Sciences
Credit Points : 3
Level : Undergraduate
Start Date : 24 Jan 2022
End Date : 15 Apr 2022
Enrollment Ends : 07 Feb 2022
Exam Date : 23 Apr 2022 IST

Note: This exam date is subject to change based on seat availability. You can check final exam date on your hall ticket.


Page Visits



Course layout

Week 1: Introduction to Econometrics and Econometric Analysis, Steps involved in Econometric Analysis
Week 2: Introduction to Classical Linear Regression Model- Two variable classical linear regression model, Assumptions of Classical Linear Regression Model
Week 3: Classical Linear Regression Model assumptions, Estimation of the regression model, Properties of Ordinary Least Square estimators
Week 4: Regression analysis: Objective, Statistical Analysis and Interpretation of results, Hypothesis testing-Types of Hypothesis, Test statistic, Critical Region
Week 5: Hypothesis testing: Level of significance and confidence interval approach; Goodness of Fit(R^2): Concepts of Explained Sum of Squares (ESS)-Residual Sum of Squares -Total Sum of Squares
Week 6: Multiple Linear Regression Model: Interpretation of the model,Statistical Analysis, Interpretation of the results
Week 7: Model misspecification: R^2 vs Adjusted R^2 ; F statistics-Application of F statistics-Overall significance of the model-Equality between two regression coefficients-Testing the validity of linear restricted and Unrestricted models
Week 8: Application of F statistics: Testing structural break in Time Series data- Chow test, Limitations of chow test; Dummy Variable models: Introduction, Different types- ANOVA, ANCOVA
Week 9: Dummy variable models continued, Application of Difference-In-Difference for impact evaluation, Statistical Analysis of the Dummy variable models
Week 10: Dummy variable model for testing seasonal fluctuation: Introduction, Analysis, Dummy variable trap; Relaxing the assumptions of Classical Linear Regression Model: Multicollinearity-Introduction-Consequences-Detection-Remedial measures; Autocorrelation-Introduction-Consequences-Detection-Remedial measures
Week 11: Heteroskedasticity: Introduction- Consequences-Detection-Remedial measures; Qualitative Response Models: Linear Probability Model,Logit Model
Week 12: Qualitative Response Models: Probit model, Alternative measures of Goodness of Fit (R^2) in Qualitative response models, Logit vs Probit model selection, Limited dependent variable model/ Tobit Model

Books and references

1. Basic Econometrics, D N Gujarati
2. Introductory econometrics: A modern approach Wooldridge

Instructor bio

Prof. Sabuj Kumar Mandal

IIT Madras
Dr. Sabuj Kumar Mandal is currently working as an Assistant Professor in the Department of Humanities and Social Sciences, Indian Institute of Technology Madras (IITM), Chennai. He completed his B.Sc (Economics) from the Scottish Church College Kolkata (1999-2002) and M.Sc (Economics) from the University of Calcutta with a specialization in Econometrics. He completed his doctoral degree in economics from the Institute for Social and Economic Change, Bangalore. His teaching and research interests include Applied Econometrics, Energy and Environmental Economics (efficiency analysis), Adaptation to Climate Change, Environmental regulation and Firm Performance and Behavioral & Experimental Economics. He has several national and international publications in his credit. He was awarded Young Economist Award 2015 by the Indian Econometric Society for his contribution to quantitative economics. Recently, he has been awarded Fulbright Nehru Academic and Professional Excellence Award 2020-21 (research category) for conducting research in the area of ‘Community Based Adaptation to Climate Change’ taking Southeast Florida Regional Climate Change Compact (SFRCC) as a model for analysis. He aims to develop an economic framework based on rational choice theory, to identify the motivating factors that determine private participation in community based adaptation (CBA) focusing on individuals’ perception about climate risk, time preference and their adaptive capacity

Course certificate

The course is free to enroll and learn from. But if you want a certificate, you have to register and write the proctored exam conducted by us in person at any of the designated exam centres.
The exam is optional for a fee of Rs 1000/- (Rupees one thousand only).
Date and Time of Exams: 23 April 2022 Morning session 9am to 12 noon; Afternoon Session 2pm to 5pm.
Registration url: Announcements will be made when the registration form is open for registrations.
The online registration form has to be filled and the certification exam fee needs to be paid. More details will be made available when the exam registration form is published. If there are any changes, it will be mentioned then.
Please check the form for more details on the cities where the exams will be held, the conditions you agree to when you fill the form etc.

CRITERIA TO GET A CERTIFICATE

Average assignment score = 25% of average of best 8 assignments out of the total 12 assignments given in the course.
Exam score = 75% of the proctored certification exam score out of 100

Final score = Average assignment score + Exam score

YOU WILL BE ELIGIBLE FOR A CERTIFICATE ONLY IF AVERAGE ASSIGNMENT SCORE >=10/25 AND EXAM SCORE >= 30/75. If one of the 2 criteria is not met, you will not get the certificate even if the Final score >= 40/100.

Certificate will have your name, photograph and the score in the final exam with the breakup.It will have the logos of NPTEL and IIT Madras .It will be e-verifiable at nptel.ac.in/noc.

Only the e-certificate will be made available. Hard copies will not be dispatched.

Once again, thanks for your interest in our online courses and certification. Happy learning.

- NPTEL team


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