Econometrics –I

Paper Code: 
ECO 514
Credits: 
4
Contact Hours: 
60.00
Max. Marks: 
100.00
Objective: 

This course provides a comprehensive introduction to basic econometric concepts and techniques. It covers statistical concepts of hypothesis testing, estimation and diagnostic testing of simple and multiple regression models.

12.00
Unit I: 
Nature of Econometrics and Statistical Concepts

Nature, scope and methodology of econometrics;

Statistical concepts: Normal distribution; chi-square, t- and F-distributions; estimation of parameters; properties of estimators; testing of hypotheses: defining statistical hypotheses Type I and Type II errors; power of a test.

12.00
Unit II: 
Simple Linear Regression Model: Two Variable Case-I

Nature of regression analysis; assumptions of Classical Linear Regression Model, estimation of model by method of ordinary least squares; properties of least square estimators; Gauss-Markov theorem.

12.00
Unit III: 
Simple Linear Regression Model: Two Variable Case-II

Goodness of fit; tests of hypotheses; scaling and units of measurement; confidence intervals; Chow Test, forecasting.

12.00
Unit IV: 
Functional forms of regression models

Log-linear model, semilog models, reciprocal models and logarithmic reciprocal model.

12.00
Unit V: 
Multiple Linear Regression Model

Estimation of parameters; properties of OLS estimators; partial regression coefficients; goodness of fit - R2 and adjusted R 2; testing hypotheses – individual and joint.

Essential Readings: 
  1. D. N. Gujarati and D.C. Porter, Essentials of Econometrics, McGraw Hill, 4th edition, International Edition, 2009.
  2. Christopher Dougherty, Introduction to Econometrics, Oxford University Press, 3rd edition, Indian edition, 2007.
  3. Jan Kmenta, Elements of Econometrics, Indian Reprint, Khosla Publishing House, 2nd edition, 2008.
  4. A. Koutsoyiannis, Theory of Econometric, Palgrave Macmillan; 2nd edition edition, 2001.

 

Academic Session: 
2017-18
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