Statistical Methods

Faculty

KANO, Takashi

Credit / Semester / Schedule / Language

4 Credits / Winter / Monday Period: 4 / Tuesday Period: 1 / English

Objectives/Overview

Sound knowledge of statistical methods is essential for evaluating critically social and economic policies and their welfare implications. The object of this course is to give beginners of economic analysis a basic understanding of how statistics and econometrics operate in economic policy analysis. Through this introductory course, students are expected to learn profoundly how essential the basic concepts of statistical analysis are to economic policy practice. The goal of this course is to enable students apply the basic statistical techniques to their own economic problems.

The course will cover the following (tentative) list of topics:

(1) Fundamentals of probabilities
(2) Fundamentals of mathematical statistics
(3) Simple regression analysis: ordinary least squares
(4) Multiple regression analysis: estimation
(5) Multiple regression analysis: inference
(6) Heteroskedasticity
(7) Endogeneity and instrumental variables
(8) Implementation of econometrics by statistical softwares

Keywords

data analysis, probability theory, statistics, econometrics, regression analysis, English

Teaching Methods

The course consists of lectures and TA sessions. Importantly, there will be two tiers of TA sessions. The first tier will be offered regularly once a week as being mandatory: all students MUST attend these mandatory TA sessions. These TA sessions are intended to review assignments, follow up class materials, and introduce a statistical software. The second tier will be more optional especially for students who have no mathematical and statistical backgrounds: about 10 TA sessions are planned to be offered as a preparation course of basic mathematical and statistical tools necessary for students to catch up with prerequisite for this course. The (tentative) list of topics includes functions, differential calculus, integral, linear algebra, probability, and elementary mathematical statistics.

Grading

Course evaluation is based on in-class questions and take-home assignments (10%), a midterm exam (35%), a final exam (45%), and class participation (i.e., attending classes and raising valid questions, 10%).

Required Text

To be announced.