Introduction to Econometrics

This information is for the 2016/17 session.

Teacher responsible

Prof Jörn-Steffen Pischke 32L2.16 (MT), Dr. Taisuke Otsu 32L 4.25 and Dr. Marcia Schafgans 32L 4.12 (LT)


This course is available on the BSc in Accounting and Finance, BSc in Economics, BSc in Economics and Economic History, BSc in Economics with Economic History, BSc in Government and Economics, BSc in Philosophy and Economics, BSc in Philosophy, Politics and Economics, BSc in Social Policy and Economics, Diploma in Accounting and Finance and MSc in Economics (2 Year Programme). This course is available with permission as an outside option to students on other programmes where regulations permit and to General Course students.

Availability to General Course students is with the permission of the lecturer.


Students must have completed Elementary Statistical Theory (ST102).

Those who have taken MA107/ST107 should consider taking EC220 only if they have obtained marks of 65 or better on both courses

Course content

This course is an introduction to econometrics; it aims to present the theory and practice of empirical research in economics.

In MT, the focus of the course is on empirical questions and students will work with the econometrics software package Stata analysing actual data sets. Students will learn how various tools are used to answer causal “what-if” questions (e.g. whether our estimates will deliver answers to questions like: “What is the effect of monetary policy on output?”).

In LT, the focus of the course is on the underlying econometric theory: estimation, properties of estimators (unbiasedness, efficiency, sampling distribution, consistency) and hypothesis testing.

Topics include: randomised experiments; program evaluation; matching; simple and multiple regression analysis; omitted variable bias; functional form; heteroskedasticity and weighted least squares; endogeneity (measurement error, simultaneity); instrumental variables and two-stage least squares; and stationary and non-stationary time series analysis.


30 hours of lectures and 10 hours of classes in the MT. 30 hours of lectures and 10 hours of classes in the LT.

A one hour revision lecture will be held in week 11 of both the MT and LT.

EC220.B for graduate students.

Formative coursework

Exercises are provided each week and are discussed in the classes.  (MT) Students are required to hand in written answers to the exercises for feedback. (LT) While students are expected to attempt the weekly problem sets before each class, students will receive formal feedback on 4 occasions.

Indicative reading

J. W. Wooldridge Introductory Econometrics. A Modern Approach,5th Edition, South-Western.

J. D. Angrist and J. S. Pischke Mastering ‘Metrics. The Path from Cause to Effect, Princeton University Press. 

Further materials will be available on the EC220 Moodle page.


Exam (50%, duration: 2 hours, reading time: 15 minutes) in the LT week 0.
Exam (50%, duration: 2 hours, reading time: 15 minutes) in the main exam period.

The Lent term examination is based on the Michaelmas term syllabus, and the Summer exam on the Lent term syllabus.

Key facts

Department: Economics

Total students 2015/16: 293

Average class size 2015/16: 16

Capped 2015/16: No

Lecture capture used 2015/16: Yes (MT & LT)

Value: One Unit

Guidelines for interpreting course guide information

PDAM skills

  • Self-management
  • Problem solving
  • Application of numeracy skills

Course survey results

(2013/14 - 2015/16 combined)

1 = "best" score, 5 = "worst" score

The scores below are average responses.

Response rate: 85%



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