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2021/2022  KAN-CCMVV1728U  Methods in Economic Consulting (online teaching)

English Title
Methods in Economic Consulting (online teaching)

Course information

Language English
Course ECTS 7.5 ECTS
Type Elective
Level Full Degree Master
Duration One Semester
Start time of the course Autumn
Timetable Course schedule will be posted at calendar.cbs.dk
Study board
Study Board for MSc in Economics and Business Administration
Course coordinator
  • Dario Pozzoli - Department of Economics (ECON)
Main academic disciplines
  • Statistics and quantitative methods
  • Economics
Teaching methods
  • Online teaching
Last updated on 19-02-2021

Relevant links

Learning objectives
  • Describe features of cross-section data and panel data as well as duration data and compare the assumptions behind and features of different models for these types of data.
  • Analyze problems suitable for functions in an Economic Consulting context such as those connected to the evaluations of public programs and interventions that typically involve the identification of causal effects.
  • Analyze problems associated with endogeneity in linear models as well as discrete response models, panel data regressions and explain solutions to this type of problems
  • Evaluate the principles behind and problems associated with estimating models for multinomial and ordinal discrete choice variables. Explain the principles of maximum likelihood estimation.
  • Analyze the identification of average treatment effects using instrumental variables, control function approach, endogenous switching, matching and propensity score matching.
  • For all models mentioned above, reflect on the applicability of a type of model in a given empirical setting, evaluate the principles behind estimation, and test hypotheses about parameters of interest by using STATA (an econometric software package widely used within the consultancy industry),
  • Demonstrate the ability to make independent advanced analyses, where the student includes only relevant elements from the course and shows substantial factual knowledge with respect to concepts, definitions, and theories.
Course prerequisites
Knowledge of the linear regression model and its estimation by ordinary least squares is required. The course also presupposes deep knowledge of statistics (such as random variables and probability distributions, inference, hypothesis testing) and calculus (such partial derivatives, constrained maximization).
Examination
Methods in Economic Consulting:
Exam ECTS 7,5
Examination form Written sit-in exam on CBS' computers
Individual or group exam Individual exam
Assignment type Written assignment
Duration 4 hours
Grading scale 7-point grading scale
Examiner(s) One internal examiner
Exam period Winter
Aids Open book: all written and electronic aids, including internet access
Read more here about which exam aids the students are allowed to bring and will be given access to : Exam aids and IT application package
Make-up exam/re-exam
Same examination form as the ordinary exam
If the number of registered candidates for the make-up examination/re-take examination warrants that it may most appropriately be held as an oral examination, the programme office will inform the students that the make-up examination/re-take examination will be held as an oral examination instead.
Course content, structure and pedagogical approach

Simple evaluation of programs and policies requires quantitative methods to obtain estimates of the effects of the programs. Hence, basic knowledge of applied econometric methods is necessary to detect and solve many of the economic consulting problems. This course introduces widely applicable quantitative methods with a special focus on their relevance for policy analysis. The main aim of the course is to introduce and apply relatively simple methods and models that can be used for econometric analysis of empirical questions that inevitably arise when project evaluations are performed in the consultancy industry. By solving relevant practical exercises and problems in STATA (a software widely used in the consultancy industry), the methods taught in this course will enable students to actually perform an econometric analysis of simple problems typically encountered in an economic consulting context. Students of Methods in Economic Consulting will acquire knowledge and skills on methods that are suitable for functions in an Economic Consulting context, e.g. as staff in an international consulting firm (such as Copenhagen Economics), in multinational company, in a ministerial department (such as VIVE), or in an international organization (such as OECD, World Bank).  Methods for Economic Consulting emphasizes to a larger extent the practical implications of each method introduced in class compared to standard econometric courses. Two consultants will be also invited to give a talk over the semester so that the students can get practical insights on the methods studied in this course. 

Description of the teaching methods
Online (live stream) teaching on zoom is integrated with quiz sessions and consultation hours in which students have the chance to ask questions. All live lectures will be recorded and all videos will be made available in Canvas to all students. The video lectures are meant especially to those students who are unable to attend some or all of live stream lectures.
Feedback during the teaching period
Individualized feedback is going to be provided through the quiz sessions and the tutorials. Additionally three mock exams will be scheduled over the course of the semester which are identical in structure to the final exam. The course instructor will provide detailed and individualized feedback to those students who hand in the mock exams. Finally 3 consultants/researchers will be invited to give a talk over the course of the semester to showcase how they use the methods studied in class in their consultancy (policy evaluation) work. These talks also offer the great opportunity to network with professionals in the field of economic consultancy.
Student workload
Lectures 20 hours
Exercises 13 hours
Preparation 100 hours
Exam 73 hours
Expected literature

Required:

 

Wooldridge, J. M. (2012): Introductory Econometrics. A Modern Approach.

 

Jenkins, Stephen (2005), Survival Analysis (pdf provided on learn)

 

Richard Blundell, Lorraine Dearden and Barbara Sianesi (2005), Evaluating the Effect of Education on Earnings: Models, Methods and Results from the National Child Development Survey, Journal of the Royal Statistical Society. Series A (Statistics in Society), Vol. 168, No. 3, pp. 473-512. (pdf provided on learn)

 

Lecture notes and handouts.

 

Recommended:

 

Acock, Alan C. (2014). A Gentle Introduction to Stata.

 

Cameron and Trivedi (2013). Microeconometrics using Stata. 

Last updated on 19-02-2021