Problems of Applied Econometrics

This information is for the 2016/17 session.

Teacher responsible

Dr Guy Michaels 32L.2.10 and Dr Matthew Gentry 32L.4.28


This course is available on the BSc in Econometrics and Mathematical Economics, BSc in Economics, BSc in Economics and Economic History and BSc in Social Policy and Economics. This course is available with permission as an outside option to students on other programmes where regulations permit. This course is available to General Course students.


Students should have completed Microeconomic Principles I (EC201) or Microeconomic Principles II (EC202) or equivalent, and either Introduction to Econometrics (EC220) or Principles of Econometrics (EC221).

Students who have completed EC220 rather than EC221 should refer to Dr Gentry for advice before starting the course regarding additional preparatory work for Lent term course material.

Course content

The purpose of this course is to provide a solid grounding in recent developments in applied econometrics. A major feature of the course is the use of both analytical and computer-based (data) exercises for the classes, which will enable students to gain practical experience in analysing a wide variety of econometric problems. The topics covered in the Michaelmas term include analysis of experimental and non-experimental data, identification of average treatment effects and local average treatment effects, weak instrument problems, quantile regressions, and regression discontinuity. The Lent term will focus on topics in the analysis of panel data of both static and dynamic models, including fixed and random effects, measurement error in panel contexts, instrumental variable regression, and generalized method of moments.


15 hours of lectures and 10 hours of classes in the MT. 15 hours of lectures and 10 hours of classes in the LT.

Formative coursework

Michaelmas term: 2-3 problem sets, usually to include econometric questions and Stata applications. Feedback to be provided by the class teacher. Lent term: Students hand in weekly problem sets and get individual written feedback from their class teacher on approximately half of them.  Students also receive written sample solutions for each problem set.

Indicative reading

A detailed reading list will be provided at the beginning of each term of the course. In parts of the Michaelmas we will use sections from the textbook "Mostly Harmless Econometrics" by Angrist and Pischke. There is no single text for the Lent term, but useful books (somewhat more advanced than the lectures) are Hsiao, "The Analysis of Panel Data" and Wooldridge, "Econometrics".


Exam (100%, duration: 3 hours, reading time: 15 minutes) in the main exam period.

Key facts

Department: Economics

Total students 2015/16: 36

Average class size 2015/16: 18

Capped 2015/16: No

Lecture capture used 2015/16: Yes (LT)

Value: One Unit

Guidelines for interpreting course guide information

PDAM skills

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