Department Management and Economics
Course Number ECON 485
Course Name: Methods in Economic Research
This form must be submitted to the Faculty Council on Liberal Learning and Academic Life as part of the submission process.
Please attach a proposed syllabus for this course and the Undergraduate Curriculum Course Proposal Form.
DEADLINE FOR PROPOSALS: 17 December 2004
Please answer the following questions:
Check Only One:
√ 
This course is an existing course (in the current curriculum) that we are now proposing for this Area of Inquiry.

This is a new course that we are now proposing for this Area of Inquiry.
1. Name and contact information for the department chair administrating this course.
Dr. Stephanie Bardwell, Chair of Management and Economics (4-7134)
Email: bardwell@cnu.edu
2. In any given semester, how many sections of this course is your department willing to offer?
1-2
3. Why is this course being offered/what is it designed to achieve (Course purpose/goal)?
To provide students with the necessary tools which will enable them to undertake applied research.
4.
Check at least three objectives below that the course will address.

Demonstrate competence in the evaluative strategies of inductive and/or deductive reasoning

Distinguish between formal and informal methods of reasoning and apply each to solve a problem

Compare various methodologies of proof

Critique a fallacious argument

Articulate the structure of, limitations of, and/or comparisons between languages (can include artificial
languages, natural languages, or both)


Explore the structure of scientific reasoning and/or cognition
5.
Briefly explain how this class addresses the above objectives. A course may cover more than three objectives. a.) This course relies on pure mathematics to solve a variety of economic problems. The use of unconstrained and constrained optimization techniques allows one to carry out such an analysis using calculus. b.) This course utilizes empirical methodologies such as regression analysis which is an informal method since the results of this technique depend on many factors such as the sample size, where and when the sample was collected, etc. This is unlike the formal technique of mathematical optimization. c.) Half of the course is applied econometrics. The researcher employs applied econometrics and relies on sample estimates to predict the true value of the parameters of a population.
6.
Course Assessment: Identify how this course will accomplish the above objectives (choose at least one).

Participating in class discussion and debate

Engaging in teamwork and other collaborative exercises

Writing analytical or evaluative papers, perhaps incorporating original research

Making oral presentations

Creating an artistic product or a performance

Participating in fieldwork

Other means – please identify
7.
Attach a proposed syllabus, which includes a statement of purpose, course objectives, and how these objectives will be accomplished.
See attached syllabus.
8. Please identify and explain if this course contributes to the Foundations of Liberal Learning expectations for:

Oral Communication Literacy:
Students present their papers to the class.

Information Literacy:
Students undertake extensive research for a major research paper.

Writing Literacy:
Students write a paper and take essay exams.
8.
Explain how this course connects to Vision 2010 – the CNU Strategic Plan
This is a course in research tools and applications of such tools, which will prepare students for empirical research. This course prepares students for graduate school by strengthening their quantitative skills.
The course promotes Vision 2010 Goals A, B, and C for vital curriculum and Goal E for students.
Submission Checklist:

By the deadline, submit a packet with the following documents to the Assistant Dean for Liberal Learning. Please submit in electronic and hard copy form.
__X__ Area of Inquiry Course Proposal Form
__X__ Syllabus for the Course
__X_ Undergraduate Curriculum Committee Course Proposal Form

COURSE SYLLABUS
ECONOMICS 485, FALL 2006
Methods in Economic Research
INSTRUCTOR: Dr. George K. Zestos {email: gzestos@cnu.edu)
OFFICE: Business and Technology Center, Room 421
OFFICE HOURS: MTWTh: 11:00-11:50 a.m.
TELEPHONE: 594-7067; Department secretary: 594-
REQUIRED TEXTS : 1) Mathematics for Economics and Business by Jean Soper, Blackwell Publisher, Most Recent Edition
To introduce students to the fundamental methods and techniques of mathematical economics in order to raise the level of comprehension of economic theory. The same methods and techniques will enable students to study, analyze, and shed light on real world economic issues and problems.
Students will also be introduced to econometrics, both regression and correlation analysis. A major requirement of the course is the undertaking and completion of an independent empirical research project (multiple regression) by all students. Each student will form a testable hypothesis based on economic theory. Collection of data on the relevant variables and use of the computer will permit the estimation and the performance of the necessary statistical and econometric test to either confirm or refute the theory.
A broader goal of the course is to develop analytical ability, creative and critical thinking.
PREREQUISITE COURSE: ECON 201G, 202G, BUSN 231 (formerly 331)
Students will need to use computer programs in order to complete their research project and other assignments. The econometrics/statistics package Eviews is strongly recommended for the completion of the project. Eviews is installed on the computers of the BTC 4 th floor computer lab. Other statistical/econometric packages, such as Minitab or SAS may also be used.
COURSE STRUCTURE:
Although the course is lecture oriented, students are expected to participate in class discussions. It is extremely important that students read the assigned material (chapter(s)) before the lecture.
Students are required to keep up with contemporary economic and political events and familiarize themselves particularly with international economic issues and problems. Such economic issues and problems are raised and discussed by the news media every day and they may be relevant at the local, national or international level. A good way to meet this requirement is to watch the evening national news daily, listen to the news on the radio, and read at least one daily newspaper and one weekly magazine.
.
SUGGESTED NEWSPAPERS: SUGGESTED
MAGAZINES:
Financial Times (strongly recommended)
Wall Street Journal (strongly recommended)
London Times
New York Times
The Economist (strongly recommended)
Time
Magazine

Christian Science Monitor
Washington Post
 5 
Newsweek
US News and World Report Financial Times
Business Week
Others
Television News:
BBC, CBS, NBC, CNN, ABC, etc. Radio News:
NPR, CBS, ABC, BBC, etc.
CLASS ATTENDANCE IS MANDATORY.
TESTS, PAPER, HOMEWORK AND FINAL EXAM:
There will be two exams, one term paper, a few homework assignments and a comprehensive final examination
Two Exams
Homework
Paper
=200
Class attendance and participation = 50
= 200
= 100
550
GRADE DISTRIBUTION:
90-100% A
80- 89% B
70- 79% C
60- 69% D
below 60% F
No make up exams will be given in this course. If a student misses an exam for a legitimate reason, the weight of the final will be increased accordingly.

 6 
HONOR STATEMENT:
Learning takes place through individual effort, and achievement can be evaluated only on the basis of the work a student produced independently.
A student who obtains credit for work, words, and ideas, which are not the products of his/her own effort, is dishonest, and his/her behavior has an adverse influence on the standards of the college. Because this is so, willful infringement of the code for academic work entails severe penalties ranging from failure in this course to dismissal from the university.
DISABILITIES INFORMATION
Any student who believes that he or she is disabled should make an appointment to see me to discuss his/her needs.
In order to receive an accommodation, the disability must be on record in the Office of Career and Counseling Services located in the Academic Advising Center, Room 125, Administration building, 594-8763.

 7 
Chapter 1 Functions in Economics
Chapter 2 Equations in Economics
COURSE OUTLINE
Changes, rates, finance and series Chapter 4
Chapter 5 Differentiation in Economics
Chapter 6
Chapter 7
Maximum and Minimum Values
Further Roles of Differentiation
Chapter 8
Chapter 9
Partial Differentiation in Economics
Trade and the Balance of Payments
EXAM 1
Chapter 1 The Nature and Scope of Econometrics
Chapter 2-4 Review of Basic Probability and Statistics
Chapter 5-6
Chapter 7
Chapter 8
Simple Regression
Multiple Regression
Functional Forms
Chapter 9 Dummy Explanatory Variable
Chapter 10 Multicollinearity
Chapter 11 Heteroscelasticity
Exam 2
The research project will be due the day of the final for this class according to the University schedule.

 8 
Econ 380 – Research Methods in Economics
Fall 2005
George Zestos
Perform a multiple regression and correlation analysis with at least two independent variables. Write a paper (maximum
12 pages typed, double-spaced) discussing your model. This paper is your final exam and counts for 150 points. Your target audience is someone who knows descriptive statistics and the rudiments of probability, along with interval estimation and hypothesis testing procedures. However, this person does not know how these ideas and procedures apply to regression and correlation analysis.
Construct a single equation model. First choose the dependent variable, then choose relevant independent variables. Gather your own data. You may use published economics and business data for either a country or a specific group of countries. You may also use data stored electronically in various databases. You are welcome to use data from the International Monetary Fund (IMF), International Financial Statistics (IFS) that is installed on my computer in BTC 421. Obtain estimates of the parameters of the printout with your paper. You will estimate your model with the econometric package MicroTSB, which is installed in the BTC computer lab, Admin 308.
In your introduction, state the problem you are examining, summarize relevant literature, indicate your general methodological approach, and explain the theoretical basis of your model. Set out the standard assumptions for a regression model.
Write your regression equation in general symbolic form, distinguishing the population regression function from the sample in detail. Justify the presence in mathematical form of each independent variable. Search for the best model, i.e., estimate different functional forms, model and choose the best one.
State the estimates of the parameters of your model along with their standard errors. Are the signs and sizes of the estimated coefficients in accord with your expectations? Explain what the estimates mean, why there is a standard error associated with each estimate, and test the statistical significance of the estimates. Failure to clearly discuss the idea of repeated sampling WILL cost you.
State the standard error of the estimate and explain it.
Use the sample regression to estimate the true population regression predicted value of the dependent variable when the independent variables are at their means. Construct a 95% confidence interval around this point value. Explain your prediction procedure and the associated confidence interval. (The idea of repeated sampling is important here.) What if your independent variables were not in their mean values?
Peform an F test for your regression to test whether or not all your independent variables together are explaining the dependent variable.
State your conclusions.
Discuss whether your model is free of serial correlation, heteroskedasticity and multicollinearty. All students will present their paper to the class. You are encouraged to work closely with me for the successful completion of your project.