Introduction to Econometrics (ECON 518 / AREC 518)

Dept. of Agricultural and Resource Economics

University of Arizona
Fall 2011
Instructor:

Dr. Satheesh Aradhyula

Office: Chavez Building, Room 427
Telephone: 621-6260 (Office)
E-mail: satheesh@ag.arizona.edu

Website:

http://ag.arizona.edu/classes/arec518/

Office Hours:

T Th 10:00 - 11:00 a.m., open door and by appointment.

Class Hours:

T Th 2:00 3:15 p.m. Chavez Building, Room 316

Prerequisites:

An introductory course in statistics at the level of Econ 339 or Econ/MAP/Mktg

376. Exposure to elementary calculus and matrix algebra.

Suggested Books:
Jeffrey M Wooldridge. Introductory Econometrics: A Modern Approach. 4th
Edition. South-Western Cengage Learning, 2009. ISBN: 0-324-66054-5.
This is a basic introductory book that will serve the purpose for this class.
Jack Johnston and John DiNardo. Econometric Methods. 4th Edition. The
McGraw-Hill Company. 1997. This book is slightly more advanced than
Wooldridge and might be useful in a subsequent econometrics class.
William H. Greene. Econometric Analysis. 7th Edition. Prentice Hall. 2011. This
advanced encyclopedic book is a best seller among Ph.D. programs.
Peter Kennedy. A Guide to Econometrics. 6th Edition. 2008. Wiley-Blackwell.
A great easy-to-read book with minimal mathematics. Provides a good review of
the literature on many topics.
The student is expected to read and understand portions of the book(s) assigned
by the instructor whether or not the assigned material is discussed in lectures.
Please be aware that I would deviate from the text many times during the
semester. Supplemental reading (e.g., journal articles, chapters from other
books) might also be assigned.
Course Objectives:
As a result of taking this course, you will acquire basic econometric tools for
empirical analysis. After completing the course, better students should be able to
estimate appropriate econometric models for investigating economic
relationships. Students should also be able to use the estimated models for
forecasting and policy analysis. The course also forms a foundation for more
advanced econometrics courses.

ECON 518 / AREC 518: Syllabus

Fall 2011, Page 2 of 4

Student Evaluation:
Grades will be given on the basis of student performance in home assignments,
midterm exams, and a comprehensive final examination.
Course Requirement
Homework Assignments
Examinations:
Midterm 1
Midterm 2
Final - Comprehensive: Friday, December 9,
1:00 3:00 p.m.
Total

Maximum
Points
20%
25%
25%
30%
100%

When a student has a legitimate reason (documented emergency) for missing a

midterm, the weight of the missed exam will be added to the final. Absolutely no
make-up exams are given.
Problem Sets and Econometric Software
All homework assignments are due on the announced date. Students will be given
one week to complete assignments. Late submissions will be severely penalized.
Homework assignments may require the use of econometric software on computers.
Although students can choose any software, I strongly encourage the use of SAS.
Outside the academia, SAS is the most popular statistical and econometric software
and knowing SAS could increase your employability vastly. SAS, SHAZAM, and
TSP are available for student use in AgEcon lab, Room 406, Chavez Building. All
homework assignments may not carry equal weight.
Academic Integrity, Special Needs, Incomplete Grade & Withdrawal Grade:
This class follows appropriate and relevant policies of the University of Arizona.
See
http://deanofstudents.arizona.edu/codeofacademicintegrity
and
http://policy.web.arizona.edu/~policy/.

Subject to Change Statement:

Information in this syllabus, other than the grade and absence policy, may be
subject to change with advance notice, as deemed appropriate by the instructor.

ECON 518 / AREC 518: Syllabus

Fall 2011, Page 3 of 4

Introduction to Econometrics: Course Outline

1.

Review of random variables

Simple regression model

3.

Simple regression in matrix notation

Multiple regression

5.

Dummy variables

6.

Heteroscedasticity

7.

Autocorrelation

8.

Lag-dependent variables

ECON 518 / AREC 518: Syllabus

Fall 2011, Page 4 of 4

List of Lectures and Exams

August

Date Topic
23 T
4 Th
24
6T
30
1

Lecture #
1
2
3

September

1 Th
6T
8 Th
13 T
15 Th
6T
20
1 Th Midterm I
22
3T
27
8 Th
29
30

4
5
6
7
8
9
10
11
12

October

4T
6 Th
11 T
2 Th
13
4T
18
9 Th
20
1T
25
6 Th Midterm II (Comprehensive)
27
8

13
14
15
16
17
18
19
20

November

1T
3 Th
8T
10 Th
1T
15
6 Th
17
8T
22
3 Th No Class Thanksgiving
24
5T
29
30

21
22
23
24
25
26
27

December

1 Th
6 T Last Class
9 F Final Exam (Comprehensive): 1:00 3:00 p.m.

28
29
30