"Econometrics is an application of statistical methods to economic data in order to give empirical content to economic relationships."
The use of statistical and mathematical models to analyze economic data.
Linear Regression: A statistical technique used in econometrics to analyze relationships between variables and make predictions.
Hypothesis Testing: A method for determining whether a claim about a population is likely to be true.
Time-Series Analysis: A statistical analysis of time-dependent data, such as economic and financial data.
Panel Data Analysis: The analysis of data from multiple individuals or groups over a period of time.
Cross-Sectional Analysis: The analysis of data on a set of individuals, markets, or firms at a specific point in time.
Instrumental Variables: A statistical technique that attempts to control for endogeneity by identifying an external variable that independently affects the outcome variable.
Maximum Likelihood Estimation: A statistical method used to estimate the parameters of a model.
Structural Equation Modeling: A statistical technique used to evaluate relationships among multiple variables and test the fit of a hypothesized model.
Time Series Forecasting: The use of statistical techniques to predict future values of a time series.
Bayesian Analysis: A statistical technique used to update prior probabilities based on new data.
Causal Inference: The process of drawing conclusions about the causal relationship between two or more variables.
Generalized Linear Models: A statistical technique used to model continuous, binary, or count data.
Cluster Analysis: A statistical technique used to group objects based on similarities.
Nonlinear Regression: A statistical technique used to model a relationship between independent and dependent variables that is not linear.
Principal Component Analysis: A statistical technique used to reduce the dimensionality of a dataset.
Regression Analysis: This technique is used to establish a relationship between two or more variables by analyzing data.
Time Series Analysis: This technique is used to analyze trends and patterns in time-series data.
Panel Data Analysis: This technique is used to analyze data collected from multiple subjects over time.
Experimental and Quasi-Experimental Design: This technique is used to measure the impact of a policy intervention or program on the economy.
Instrumental Variables: This technique is used to measure the effect of one variable on another when there is an issue of endogeneity.
Structural Equation Modeling: This technique is used to analyze the relationships between variables in a structural equation system.
Generalized Method of Moments: This technique is used to estimate unknown parameters of a model that uses non-linear equations.
Bayesian Econometrics: This technique is used to analyze economic data using Bayesian probability methods.
Spatial Econometrics: This technique is used to analyze economic data in a spatial framework.
Vector Autoregression: This technique is used to analyze the dynamic behavior of economic variables over time.
"More precisely, it is 'the quantitative analysis of actual economic phenomena based on the concurrent development of theory and observation, related by appropriate methods of inference'."
"An introductory economics textbook describes econometrics as allowing economists 'to sift through mountains of data to extract simple relationships'."
"Jan Tinbergen is one of the two founding fathers of econometrics. The other, Ragnar Frisch, also coined the term in the sense in which it is used today."
"A basic tool for econometrics is the multiple linear regression model."
"Econometric theory uses statistical theory and mathematical statistics to evaluate and develop econometric methods."
"Econometricians try to find estimators that have desirable statistical properties including unbiasedness, efficiency, and consistency."
"Applied econometrics uses theoretical econometrics and real-world data for assessing economic theories, developing econometric models, analysing economic history, and forecasting."