Aims

• Introduction of the concept of unit autogressive roots, and the consequences of that concept for the analysis of economic time series - in particular, the importance of cointegration analysis and error-correction models.
• The introduction of other time series - analytic concepts and tools that have found applicability in Economics. These include structural time series models, stationarity testing and GARCH models.

learning outcomes

Knowledge and Understanding

• A1 Demonstrate a broad knowledge of core areas of economics
• A4 Demonstrate understanding of verbal, graphical, mathematical and econometric representation of economic ideas and analysis, including the relationship between them.
• A5 Show understanding of relevant mathematical and statistical techniques.
• A7E Demonstrate more extensive knowledge and skills of quantitative economics and econometrics.
• A7 BSc Demonstrate more extensive knowledge and skills of quantitative or theoretical modelling areas of economics and econometrics.

Intellectual Skills

• B1 apply complex ideas to solve problems
• B2 work with abstract concepts and in a context of generality
• B4 perform with high levels of accuracy

Professional / Practical Skills

• C2 select and apply appropriate techniques to solve problems
• C3 justify conclusions using economic arguments with appropriate rigour

Transferable Skills

• D1 apply mathematical, statistical and graphical techniques in an appropriate manner
• D2 communicate effectively and clearly in written and oral formats
• D3 analyse and solve complex problems accurately