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BUEC 333: Statistical Analysis of Economic Data                                Fall 2016


This class is challenging in part because it combines probability & statistical theory with computer-based data analysis. But, that is also what makes it so interesting, because for the first time you will be able to test economic theories and models using real data! Be sure to come to this class as prepared as you can!
    1. Theory: our theoretical analysis uses foundations from probability theory and statistical analysis.
      1. review the material from your introductory stat courses; 
      2. read chapters 1 to 3.
    2. Data analysis: to conduct data analysis, we will use the statistical software R which is free and can be installed on any computer.
      1. install the software R and R studio: follow the steps 1 to 2 at http://swirlstats.com/students.html
      2. start using R to conduct data analysis: follow steps 3 to 6 at http://swirlstats.com/students.html
        • The following Swirl courses are recommended:
          1. Beginner: R programming;
          2. Beginner: Data Analysis;
          3. Beginner: Open Intro.
          4. Regression models
      3. attend the R tutorials during the 1st week of class.
        • to help you download the software on your computer (both R and R studio), and/or get started with the above online R courses and tutorials
        • R tutorials have been scheduled during the 1st week of class (Sept. 6-7th) at the same time as the regular tutorials. Space is limited and sign-up sheets will be provided early Sept.

Why do we use R software rather than another commercial software? 3 main reasons:

  1. R is an open source software, which means that it is freely available, which means that there is no need to purchase a license to install it on your personal computer or laptop... Open source also means that there are many contributors around the world who write codes and programs to implement many (sophisticated) econometric and statistical techniques; there is also a lot of help available online: if you do not know how to do something, google it and something will come up!
  2. R is becoming more and more popular in economics. If you go to grad school, it is likely you will use it again.
  3. We have received very good feedback from former students: employers seem to value data analysis skills, and they value it even more  when the software you know is free and can be used at your new job!

R can be a little bit intimidating at the beginning, and it takes time to become familiar with it, so don't delay looking into it and practicing.