CARLETON UNIVERSITY

Carleton University Department of Economics ECON 4706 B Econometrics I 2011 Fall INSTRUCTOR: Dr. Gubhinder Kundhi OFFICE: D-886 Loeb Building PHONE: 613-520-2600 x 3759 E-MAIL: [email protected] OFFICE HOURS: TBA LECTURES: Mondays, 11:35 a.m. – 2:25 p.m. in 520 Southam

COURSE DESCRIPTION: This course provides an introduction to the field of econometrics. More specifically, it focuses on the classical normal linear regression model. Topics to be covered include: estimation methods, hypothesis testing, and the problems of multicollinearity, heteroskedasticity, and autocorrelation. ECON 4706 is a required course for B.A. Honours in Economics. It precludes additional credit for ECON 3706. PREREQUISITES: ECON 2201 (or equivalent) with a grade of C+ or higher, and ECON 2202 (or equivalent) with a grade of C+ or higher. Students who believe they have taken a similar background course or courses from another university must provide appropriate documentation to the Department of Economics Undergraduate Advisor, Amanda Wright. REQUIRED TEXTBOOK: Gujarati, D .N. and Porter, D.O. (2009), Basic Econometrics (5th Edition). New York, NY: McGraw-Hill COURSE OUTLINE: 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11.

Introduction and Statistical Review, Gujarati – Introduction, Ch.1, and Appendix A. Two-Variable Regression Model: Basics, Gujarati – Ch. 2. Two-Variable Regression Model: Ordinary Least Squares Estimation, Gujarati – Ch. 3. Two-Variable Regression Model: Normality Assumption, Gujarati – Ch. 4. Two-Variable Regression Model: Inference, Gujarati – Ch. 5. Two-Variable Regression Model: Extensions, Gujarati – Ch. 6. Multiple Regression Model: Estimation, Gujarati – Ch. 7. Multiple Regression Model: Inference, Gujarati – Ch. 8. Multicollinearity, Gujarati – Ch. 10. Heteroskedasticity, Gujarati – Ch. 11. Autocorrelation, Gujarati – Ch. 12.

1

WEBCT: Please make sure that you have a Carleton Connect account and access to WebCT. All correspondence such as assignments, changes to schedules, and other important messages will be posted on WebCT. Students are strongly advised to log in to their accounts very regularly to check for such information. For those students who do not already have their WebCT account set up, please go to the carleton.ca Web site, choose WebCT and then select Student Resources. The specific site location for student account setup is: http://apps.carleton.ca/ccs/web/webct/studentfaq.asp You can also contact the CCS Service Desk, located in the MacOdrum Library, Tel: 613-520-3700. GRADING SCHEME: The final grade in this course will consist of the following elements weighted as shown below: 1. Assignments 2. Final examination

40% 60%

There will be a total of four required assignments each worth 10%. These will be made available on WebCT. The assignments will be composed of theoretical and applied questions. Applied exercises will require the use of computer software. An integral part of the course will be the use of the SHAZAM econometrics package, which is available on the University computer system. Obtaining personal copies of this package will be discussed in class. Instructions on the installation and use of this software will be provided as the course progresses. All assignments are due at the beginning of the class on the due date. Late assignments will not be accepted. Failure to submit assignments will result in zero marks. Students may wish to work together on assignments, BUT each student MUST write up his/her assignments INDEPENDENTLY. Independent work on assignments is the best way to understand the material. Failure to write the final examination will result in a course grade of ABS (“ABSent from a required final examination”). See Academic Regulation 2.3 for the official meanings of such grades, and note that it stipulates that no course grades are final until approved by the Faculty Dean. Application to write a deferred final examination must be made at the Registrar’s Office. CLASSROOM CONDUCT: Carleton University is committed to providing a safe environment conducive to learning. It is a violation of the standards of academic integrity for a student registered in a class to disrupt the class or other period of instruction with any action or behaviour reasonably judged by the instructor or teaching assistant to be detrimental to the class (Academic Integrity Policy, Section VI.8). Instructors are required to report all alleged cases of violation of these standards to the Faculty Dean. STUDENTS REQUIRING SPECIAL ACCOMMODATION: Students requiring special accommodation should contact the Paul Menton Center for Persons with disabilities to complete necessary letters of accommodation– www.carleton.ca/pmc. After registering with the PMC, make an appointment to meet and discuss your needs with me at least two weeks prior to the first in-class test or midterm exam. This is necessary in order to ensure sufficient time to make the 2

necessary arrangements. Please note the deadline for submitting completed forms to the Paul Menton Centre is November11th, 2011 for Fall-term courses. For Religious Obligations

For Pregnancy

To be worked out on individual basis with instructor. Consult Equity Services Website or an Equity Advisor (ext. 5622) for Policy and list of Holy Days (www.carleton.ca/equity) Contact Equity Services (ext. 5622) to obtain letters of accommodations

PLAGIARISM: Please be aware that plagiarism is a serious offense and should be recognized and avoided. For further information on how to do so, please see “Pammett on Plagiarism and Paraphrasing" at www.carleton.ca/economics/courses/writing-preliminaries. IF YOU HAVE ANY PROBLEMS AND QUESTIONS, PLEASE DO NOT HESITATE TO ASK FOR HELP.

3