Econometrics 3

Module code: EC3062
Module co-ordinator: Dr James Rockey

Much of the data that describes the behaviour of an economy, company or individual does so in terms of how that behaviour has varied over time. Understanding this behaviour, and thus being able to analyse this data, is important because it provides an excellent description of many of the biggest challenges to a society, such as unemployment, inflation, output or CO2 emissions. However, such data can be associated with some specific challenges and needs particular econometric techniques to be effectively analysed.  

In this module we will discuss how to deal with data describing share prices, or income levels which on average increase every year. We will look at how to handle the often complex interdependence between macroeconomic aggregates such as inflation and unemployment; and also at how to construct good forecasts. You will learn how to analyse a simple single-equation dynamic econometric model, use industry-standard software STATA. We will also consider the analysis of non-stationary economic time series.

Topics covered

  • Single equation dynamic econometric models derived from economic principles; modern econometric methodologies.
  • Interpreting and evaluating critically numerical results of econometric estimation.
  • Contemporary econometric software.


  • 20 one-hour lectures
  • 2 one-hour seminars

  • 9 one-hour practicals


  • Group project (100%)