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AG ECON 610 AGRICULTURAL ECONOMETRICS -II                                                                            (3L + 1P) III
(Pre-requisite: AG ECON 510)

Objective
  The course is designed to provide comprehensive knowledge of advanced econometric tools for better understanding of economic problems.

Theory

UNIT I
  Review of classical regression model – review of hypothesis testing – estimation subject to linear restriction

UNIT II
  Mixed estimation - use of  instrumental variables in regression analysis, method of principal components, Errors in variables models.

UNIT III
  Use of Dummy variables. Models for qualitative dependent variable - LPM, Probit and Logit and its multinomial extensions.

UNIT IV
  Simultaneous equation systems: Basic rationale, identification problems, Single equation methods of estimation-indirect least squares, two stage least squares, and K-class estimators, and limited information maximum likelihood, three-stage least squares, and full information maximum likelihood; Relative merits of these methods and their small and large sample properties. SURE estimates.

UNIT V
  Distributed lag models. Analysis of economic time series – stationarity and unit root test, ARIMA, ARCH group of models and co-integration. Neural Network Models. Pooling of cross-section and time series data.

Practicals
  Estimation of multiple regression model - estimation of LPM, Logit and Probit models - comparing two regressions - Chow test - Indirect least squares 2SLS, SURE, 3SLS, estimation of simultaneous equation models – unit root tests for stationarity, fitting of ARIMA and ARCH group of models - cointegration

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