Econometrics – Part I

A simple survey over the most basic concepts that is usually studied within introductory courses in econometrics.

Content

1. Basics of probability and statistics
1.1 Random variables and probability distributions
1.1.1 Properties of probabilities
1.1.2 The probability function – the discrete case
1.1.3 The cumulative probability function – the discrete case
1.1.4 The probability function – the continuous case
1.1.5 The cumulative probability function – the continuous case
1.2 The multivariate probability distribution function
1.3 Characteristics of probability distributions
1.3.1 Measures of central tendency
1.3.2 Measures of dispersion
1.3.3 Measures of linear relationship
1.3.4 Skewness and kurtosis

2. Basic probability distributions in econometrics
2.1 The normal distribution
2.2 The t-distribution
2.3 The Chi-square distribution
2.4 The F-distribution

3. The simple regression model
3.1 The population regression model
3.1.1 The economic model
3.1.2 The econometric model
3.1.3 The assumptions of the simple regression model
3.2 Estimation of population parameters
3.2.1 The method of ordinary least squares
3.2.2 Properties of the least squares estimator