Download Topics in Applied Economics and Econometrics

Department of Econometrics
University of Madras
M.Phil. Applied Economics with effect from 2015-16
Semester
Subject
Code
Eco C 101
I
Title of the Course
Advanced Economic Theory &
Applications
Eco C 102 Research Methodology
C/E
Credits
Faculty
C
5
All Faculty
C
5
All Faculty
Eco E 101
Topics in Applied Economics
and Econometrics
E
5
All Faculty
Eco C103
Dissertation
C
21
Guide and
II
Eco C101
Supervisor
Advanced Economic Theory
& Application
5
All Faculty
Unit 1:
Microeconomic Theory: Neo-Classical Models – household Production Approach –
Extension to Health & Education – Agricultural Household models.
Unit 2: Micro-macro Development issues: Health, Education, Poverty, Gender, Human
Development Index.
Unit 3: Corporate Financial Decisions: Firms value and Equity Value –The objectives in
Corporate Finance – Maximizing Share Holder Wealth. Time Value of Money –
Future value – Present value. Future Value of an Annuity – Present value of an
Annuity – value and Investment Decision making – Determination of the Required
Rate of Return – Capital Asset Pricing Model (CAPM).
Unit 4: Modern Growth Economics – Solow model – Romer Model – barro Model _ Lucas
model – R & D and Innovations – Information economics – asymmetry –
Institutional Economics – Formal and informal Institutions – Social Capital –
Econometric Applications.
Unit 5: Public goods and Governance – Decentralization – Revenue and Expenditure
assignments between various tiers of federal governments – competitions between
regional governments.
Books for Reference:
1. UNDP: Human Development Reports.
2. World Bank: World Development Reports.
3. Ross, S.A., R.W. Westerfield and J. Jaffee: Corporate Finance, Oxford University Press.
4. Brealey, R., S.C. Myers, F. Allen and P. Mohanty: Principles of Corporate Finance, Tata
McGraw Hill.
5. Barro, R. and X. Sala-i-Martin: Economic Growth.
6. Singh, I., L. Squire and J. Strauss: Agricultural household Models, John Hopkins
University Press.
7. Srinivasan, T.N.: Handbook of Development Economics, North-Holland Elsevier.
8. Musgrave, R. and P. Musgrave: Public Finance: Theory and Practice, McGraw Hill.
9. Boadway, Rubin W.: Public Economics: Winthop Publications.
Eco C102
Research Methodology
5
All Faculty
Unit 1: Theory & facts – deductive and inductive theory- epistemological considerationspositivism and interpretiveism – ontological – objectivism and constructionist –
criteria for social research – reliability, replication , validity.
Unit 2: Methods of economics – deductive and inductive methods, nature, scope and sources
of hypothesis – econometric specification and estimation – applications.
Unit 3:
Data Processing using Excel , STATA, SPSS: simple statistical techniques – charts
– graphs - Basics data management - Importing data – Recoding variables –
creating new variables using Compute / command – selecting & weighting cases
using– Univariate analysis – cross tabulations – Economic Applications.
Unit 4: Simple linear model – General linear models – assumptions – application –
violation of assumptions – specification tests – simultaneous equation models.
Unit 5:
Panel Data analysis: fixed effects model – random effects model – dynamic panel
data models – applications of panel data.
Books for Reference:
1. Viswanathan, P.K. (2003) Business Statistics, Pearson Education.
2. Kothari, C.R. (1990) Research Methodology: Methods & Techniques, Second edition,
Wishwa Prakashan, New Delhi.
3. Hsiao. Analysis of Panel Data.
4. Baltagi. Econometric Analysis of Panel Data.
5. Gujarati, D.N. (2004) Basic Econometrics, Fourth edition, Tata McGraw-Hill.
6. Greene W.H. (2003) Econometric Analysis, 5th Edition, Pearson Education.
7. David P. Doane & Lori E. Seward (2007) Applied Statistics in Business & Economics,
Tata McGraw Hill.