Econometrics: Methods and Applications

Go to Course: https://www.coursera.org/learn/erasmus-econometrics

Introduction

# Course Review: Econometrics: Methods and Applications ## Overview If you're on a quest to understand the intricate relationships that shape business and economic landscapes through data analysis, look no further than the **Econometrics: Methods and Applications** course offered by **Erasmus University Rotterdam on Coursera**. This course not only equips its learners with the fundamental tools of econometrics but also empowers them to translate real-world data into actionable insights. ## What Will You Learn? By enrolling in this course, you'll dive into a range of critical topics that form the backbone of econometrics. The curriculum begins with essential concepts such as **simple and multiple regression**, guiding you through the fundamentals while challenging your analytical skills with in-video quizzes and post-video exercises. As you progress, you'll explore more complex themes including: - **Model Specification:** Understanding how to construct effective econometric models. - **Endogeneity:** Investigating the issues surrounding variables that influence each other. - **Binary Choice Data:** Analyzing situations where outcomes are dichotomous. - **Time Series Data:** Navigating the temporal aspect of data to forecast future trends. Each module is designed to build on the last, creating a cohesive learning experience that not only teaches theory but also applies it through practical exercises. ## Prerequisites This course is suited for advanced undergraduate students in various fields such as economics, finance, business, engineering, and data analysis. While it does assume some foundational knowledge of matrices, probability, and statistics, there is a **Building Block module** available to help you review these concepts before diving into the core content. If you're looking for an introductory econometrics course with less emphasis on mathematical background, consider also checking out **“Enjoyable Econometrics”** from the same university. ## Learning Environment Erasmus University provides an engaging learning environment where you can connect with fellow students. While there's guidance available from the institution's Econometric Institute staff during specific months, peer interactions can greatly enhance your learning experience. Engaging in discussions about course topics and exercises can offer fresh perspectives and deepen your understanding. ## Certification Completing the course is rewarding not only academically but also professionally, as you can earn a certificate to showcase your new skills. To qualify, you will need to complete six Test Exercises—one for each module—along with a final Case Project, which is key to applying what you've learned. Additionally, peer-reviewing the work of three classmates adds an element of collaboration, fostering a sense of community and shared learning. ## Course Highlights - **Hands-On Applications:** The Case Project requires you to integrate various econometric methods to tackle real-world challenges, ensuring that the knowledge you acquire is both practical and impactful. - **Strong Curriculum Structure:** The course is methodically structured, providing clarity on complex subjects and gradually building your expertise. - **Access to Resources:** With engaging video materials, quizzes, and a robust support network, learners are well-equipped for success. ## Recommendation I wholeheartedly recommend **Econometrics: Methods and Applications** to anyone interested in leveraging data to make informed decisions in business or economics. Whether you're an aspiring economist, a finance professional, or a business analyst, this course will enhance your analytical toolkit, making you a more effective decision-maker. The blend of theoretical knowledge with hands-on applications will not only deepen your understanding of economic concepts but also immensely improve your data analysis skills. Embark on this educational journey and transform your approach to complex economic questions by enrolling in this course today!

Syllabus

Welcome Module

Welcome! Do you wish to know how to analyze and solve business and economic questions with data analysis tools? Then Econometrics by Erasmus University Rotterdam is the right course for you, as you learn how to translate data into models to make forecasts and to support decision making. What do I learn? When you know econometrics, you are able to translate data into models to make forecasts and to support decision making in a wide variety of fields, ranging from macroeconomics to finance and marketing. Our course starts with introductory lectures on simple and multiple regression, followed by topics of special interest to deal with model specification, endogenous variables, binary choice data, and time series data. You learn these key topics in econometrics by watching the videos with in-video quizzes and by making post-video training exercises. Do I need prior knowledge? The course is suitable for (advanced undergraduate) students in economics, finance, business, engineering, and data analysis, as well as for those who work in these fields. The course requires some basics of matrices, probability, and statistics, which are reviewed in the Building Block module. If you are searching for a MOOC on econometrics of a more introductory nature that needs less background in mathematics, you may be interested in the Coursera course “Enjoyable Econometrics” that is also from Erasmus University Rotterdam. Will there be teaching assistants active to guide me through the course? We advise you to connect with fellow learners of this course to discuss topics and exercises. Staff of our Econometric Institute provides guidance in January and February of each year. How will I get a certificate? To gain the certificate of this course, you are asked to make six Test Exercises (one per module) and a Case Project. Further, you perform peer-reviewing activities of the work of three of your fellow learners of this MOOC. You gain the certificate if your average grade score is at least 50%. Have a nice journey into the world of Econometrics! The Econometrics team

This Case Project is the final assignment of our MOOC. It is of an applied nature, and it asks you to answer practical questions by means of econometric methods. By doing the case, you will integrate various econometric methods and skills that were trained in our MOOC.

By studying this module, you get the required background on matrices, probability and statistics. Each topic is illustrated with simple examples, and you get hands-on training by doing the training exercise that concludes each lecture. Three lectures on matrices show you the basic terminology and properties of matrices, including transpose, trace, rank, inverse, and positive definiteness. Two lectures on probability teach you the basics of univariate and multivariate probability distributions, especially the normal and associated distributions, including mean, variance, and covariance. Finally, two lectures on statistics present you with the basic ideas of statistical inference, in particular parameter estimation and testing, including the use of matrix methods and probability methods.