Bachelor
2021/2022
Topics in Applied Economics
Type:
Elective course
Area of studies:
Economics
Delivered by:
International College of Economics and Finance
When:
3 year, 3, 4 module
Mode of studies:
offline
Open to:
students of one campus
Instructors:
Markus Gebauer
Language:
English
ECTS credits:
4
Contact hours:
56
Course Syllabus
Abstract
Pre-Requisites: Passing Grades in Microeconomics I and II, Macroeconomics and Econometrics. This course is an advanced course for students that want to see how economists bridge the gap between theory and empirics. To this end, there will be discussion of theory but a great emphasis on the specifics of empirical strategies and their implementation. This will be done by discussing various classical, and lesser known, papers in great detail. The instruction of the course will be different from most courses as there will be little “frontal instruction“ and a lot of interaction, not just between instructor and students, but also among students, requiring a lot of self study. Each week, we will meet to discuss previously announced papers revolving around a particular topic. Everybody will need to be able to talk sensibly about the papers and only in rare cases will there be a formal lecture with slides. This means that students will be expected to have read the papers in advance and are prepared to critically assess their content. There will be a portion of each class dedicated to the lecturer asking each student a question on the paper that is being discussed. For full reading list please refer to the uploaded Syllabus file.
Learning Objectives
- Enable to learn, acquire new knowledge, skills, including fields other than professional
- Teach students to identify the scientific nature of the problems in the professional field
- Enable students to find, evaluate and use information from various sources, necessary to solve scientific and professional problems
Expected Learning Outcomes
- Able to perform structural estimation and interpret results
- Apply discrete choice models and the econometric methodes
- Be able to assess the Misallocation Wedges methods and results
- Distinguish different sources of sample selection and the ways of dealing with it
- Explain concepts of demand equation estimation and outline the empirical challenges therein
- Identify challenges and apply methods of estimation of assortative matching
- Transfer insights from the misallocation wedge literature to new contexts, e.g.: Russia
Course Contents
- Estimation of systems of demand equations
- Discrete Choice
- Labor Supply. Sample Selection
- Other Applications: Food Stamps, Gift Giving, Consumer Price Indices
- Assortative Matching in the Labour Market (might not be covered in class)
- Misallocation Wedges (might not be covered in class)
Assessment Elements
- answering reading guides part II3 guides - 2 best are counted.
- answering reading guides part I3 guides - one per topic, with equal weights.
- class attendance and participation
- Final exam
Interim Assessment
- 2021/2022 4th module0.5 * Final exam + 0.15 * answering reading guides part II + 0.15 * answering reading guides part I + 0.2 * class attendance and participation
Bibliography
Recommended Core Bibliography
- Blundell, R. (1988). Consumer Behaviour: Theory and Empirical Evidence——a Survey. Economic Journal, (389), 16. Retrieved from http://search.ebscohost.com/login.aspx?direct=true&site=eds-live&db=edsrep&AN=edsrep.a.ecj.econjl.v98y1988i389p16.65
Recommended Additional Bibliography
- Becker, G. S. (1973). A Theory of Marriage: Part I. Journal of Political Economy, (4), 813. https://doi.org/10.1086/260084
- Daniel McFadden. (2001). Economic Choices. American Economic Review, (3), 351. https://doi.org/10.1257/aer.91.3.351
- Diego Restuccia, & Richard Rogerson. (2008). Policy Distortions and Aggregate Productivity with Heterogeneous Plants. Review of Economic Dynamics, (4), 707. https://doi.org/10.1016/j.red.2008.05.002
- Dwyer Jr., G. P., & Lindsay, C. M. (1984). Robert Giffen and the Irish Potato. American Economic Review, 74(1), 188. Retrieved from http://search.ebscohost.com/login.aspx?direct=true&site=eds-live&db=bsu&AN=4510295
- Eeckhout, J., & Kircher, P. (2011). Identifying Sorting——In Theory. Retrieved from http://search.ebscohost.com/login.aspx?direct=true&site=eds-live&db=edsbas&AN=edsbas.F71FA865
- Gibson, J., Stillman, S., & Le, T. (2008). CPI bias and real living standards in Russia during the transition. Journal of Development Economics, (1), 140. Retrieved from http://search.ebscohost.com/login.aspx?direct=true&site=eds-live&db=edsrep&AN=edsrep.a.eee.deveco.v87y2008i1p140.160
- Heckman, J. J. (1974). Shadow Prices, Market Wages, and Labor Supply. Econometrica, (4), 679. Retrieved from http://search.ebscohost.com/login.aspx?direct=true&site=eds-live&db=edsrep&AN=edsrep.a.ecm.emetrp.v42y1974i4p679.94
- Hsieh, C.-T., & Klenow, P. J. (2009). Misallocation and Manufacturing TFP in China and India. Retrieved from http://search.ebscohost.com/login.aspx?direct=true&site=eds-live&db=edsbas&AN=edsbas.9B319756
- Lucia Foster, John Haltiwanger, & Chad Syverson. (2008). Reallocation, firm turnover, and efficiency: Selection on productivity or profitability. Retrieved from http://search.ebscohost.com/login.aspx?direct=true&site=eds-live&db=edsbas&AN=edsbas.61D83E23
- McFadden, D. (1980). Econometric Models for Probabilistic Choice among Products. The Journal of Business, (3), 13. Retrieved from http://search.ebscohost.com/login.aspx?direct=true&site=eds-live&db=edsrep&AN=edsrep.a.ucp.jnlbus.v53y1980i3ps13.29