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Unit of study_

ECMT6007: Analysis of Panel Data

Semester 1, 2021 [Normal day] - Camperdown/Darlington, Sydney

Recently, empirical research in economics, finance, marketing and accounting has been enriched by the increasing availability of new sources of data, known as panel data. A 'panel' refers to the pooling of observations on a cross section of households, countries, firms etc. over several time periods. Panel data sets possess several major advantages over conventional cross-sectional or time series data sets. This unit aims to offer a comprehensive treatment of the analysis of panel data, which will allow students to deal in a pragmatic way with fundamental issues, such as controlling for individual heterogeneity, reducing collinearity among regressors, addressing statistical hypotheses and identifying effects that are simply not detectable in pure cross-section or time series data.

Unit details and rules

Unit code ECMT6007
Academic unit Economics
Credit points 6
Prohibitions
? 
None
Prerequisites
? 
ECMT6002 or ECMT6702
Corequisites
? 
None
Assumed knowledge
? 

None

Available to study abroad and exchange students

Yes

Teaching staff

Coordinator Jian Hong, jian.hong@sydney.edu.au
Lecturer(s) Jian Hong, jian.hong@sydney.edu.au
Type Description Weight Due Length
Final exam (Take-home short release) Type D final exam Final exam (take home)
Take home exam
50% Formal exam period 3 hours
Outcomes assessed: LO1 LO2
In-semester test (Open book) Type C in-semester exam Mid-semester test
Take home exam
25% Week 07
Due date: 22 Apr 2021 at 18:00
2 hours
Outcomes assessed: LO1 LO2
Assignment group assignment Applied project
Online collaboration
25% Week 13
Due date: 03 Jun 2021 at 18:00
9-12 pages
Outcomes assessed: LO1 LO2 LO3
group assignment = group assignment ?
Type C in-semester exam = Type C in-semester exam ?
Type D final exam = Type D final exam ?

Assessment summary

Detailed information for each assessment can be found on Canvas.

Assessment criteria

The University awards common result grades, set out in the Coursework Policy 2014 (Schedule 1).

As a general guide, a High distinction indicates work of an exceptional standard, a Distinction a very high standard, a credit a good standard, and a pass an acceptable standard.

Result name

Mark range

Description

High distinction

85 - 100

 

Distinction

75 - 84

 

Credit

65 - 74

 

Pass

50 - 64

 

Fail

0 - 49

When you don’t meet the learning outcomes of the unit to a satisfactory standard.

For more information see sydney.edu.au/students/guide-to-grades

For more information see guide to grades.

Late submission

In accordance with University policy, these penalties apply when written work is submitted after 11:59pm on the due date:

  • Deduction of 5% of the maximum mark for each calendar day after the due date.
  • After ten calendar days late, a mark of zero will be awarded.

Academic integrity

The Current Student website  provides information on academic integrity and the resources available to all students. The University expects students and staff to act ethically and honestly and will treat all allegations of academic integrity breaches seriously.  

We use similarity detection software to detect potential instances of plagiarism or other forms of academic integrity breach. If such matches indicate evidence of plagiarism or other forms of academic integrity breaches, your teacher is required to report your work for further investigation.

You may only use artificial intelligence and writing assistance tools in assessment tasks if you are permitted to by your unit coordinator, and if you do use them, you must also acknowledge this in your work, either in a footnote or an acknowledgement section.

Studiosity is permitted for postgraduate units unless otherwise indicated by the unit coordinator. The use of this service must be acknowledged in your submission.

Simple extensions

If you encounter a problem submitting your work on time, you may be able to apply for an extension of five calendar days through a simple extension.  The application process will be different depending on the type of assessment and extensions cannot be granted for some assessment types like exams.

Special consideration

If exceptional circumstances mean you can’t complete an assessment, you need consideration for a longer period of time, or if you have essential commitments which impact your performance in an assessment, you may be eligible for special consideration or special arrangements.

Special consideration applications will not be affected by a simple extension application.

Using AI responsibly

Co-created with students, AI in Education includes lots of helpful examples of how students use generative AI tools to support their learning. It explains how generative AI works, the different tools available and how to use them responsibly and productively.

WK Topic Learning activity Learning outcomes
Week 01 Introduction, linear regression with treatment effects Lecture (3 hr)  
Week 02 OLS and GLS in matrix Lecture and tutorial (3 hr)  
Week 03 Endogeneity, instrumental variable method, 2SLS Lecture and tutorial (3 hr)  
Week 04 Pooled OLS, first difference estimator Lecture and tutorial (3 hr)  
Week 05 Fixed-effect and random-effect estimators Lecture and tutorial (3 hr)  
Week 06 Social and natural experiments, difference in differences (DID) estimation Lecture and tutorial (3 hr)  
Week 07 Mid-semester exam Lecture (3 hr)  
Week 08 Modelling issues in panel data Lecture and tutorial (3 hr)  
Week 09 Generalized method of moments (GMM) Lecture and tutorial (3 hr)  
Week 10 Dynamic linear panel data models Lecture and tutorial (3 hr)  
Week 11 Simultaneous equation models for panel data Lecture and tutorial (3 hr)  
Week 12 Discrete Choice Models for Panel Data Lecture and tutorial (3 hr)  
Week 13 Review for final exam Lecture and tutorial (3 hr)  

Attendance and class requirements

  • Attendance: students are expected to attend 90% of their classes. If you attend less than 50% of classes, regardless of the reasons, you may be referred to the Examiner’s Board which will decide whether you should pass or fail the unit of study if your attendance falls below this threshold.
  • Lecture Recording: Most lectures (in recording-equipped venues) will be recorded and may be made available to students on the LMS. However, you should not rely on lecture recording to substitute your classroom learning experience.
  • Preparation: Students should commit to spend approximately three hours’ preparation time (reading, studying, homework, essays, etc.) for every hour of scheduled instruction.

Study commitment

Typically, there is a minimum expectation of 1.5-2 hours of student effort per week per credit point for units of study offered over a full semester. For a 6 credit point unit, this equates to roughly 120-150 hours of student effort in total.

Required readings

All readings for this unit can be accessed on the Library link available on Canvas.

  • Recommended textbook: Econometrics of Panel Data: Methods and Applications, by Erik Biørn, Oxford University Press 2016
  • Recommended textbook: Microeconometrics: Methods and Applications, by Cameron and Trivedi, Cambridge University Press 2005;
  • Recommended textbook: Microeconometrics Using Stata, by Cameron and Trivedi, Stata Press, 2010.

Learning outcomes are what students know, understand and are able to do on completion of a unit of study. They are aligned with the University's graduate qualities and are assessed as part of the curriculum.

At the completion of this unit, you should be able to:

  • LO1. understand the models and econometric methods extensively used in analysis of panel data
  • LO2. critically evaluate existing empirical studies of panel data from economics and other fields
  • LO3. implement empirical projects using panel data and clearly demonstrate the ideas.

Graduate qualities

The graduate qualities are the qualities and skills that all University of Sydney graduates must demonstrate on successful completion of an award course. As a future Sydney graduate, the set of qualities have been designed to equip you for the contemporary world.

GQ1 Depth of disciplinary expertise

Deep disciplinary expertise is the ability to integrate and rigorously apply knowledge, understanding and skills of a recognised discipline defined by scholarly activity, as well as familiarity with evolving practice of the discipline.

GQ2 Critical thinking and problem solving

Critical thinking and problem solving are the questioning of ideas, evidence and assumptions in order to propose and evaluate hypotheses or alternative arguments before formulating a conclusion or a solution to an identified problem.

GQ3 Oral and written communication

Effective communication, in both oral and written form, is the clear exchange of meaning in a manner that is appropriate to audience and context.

GQ4 Information and digital literacy

Information and digital literacy is the ability to locate, interpret, evaluate, manage, adapt, integrate, create and convey information using appropriate resources, tools and strategies.

GQ5 Inventiveness

Generating novel ideas and solutions.

GQ6 Cultural competence

Cultural Competence is the ability to actively, ethically, respectfully, and successfully engage across and between cultures. In the Australian context, this includes and celebrates Aboriginal and Torres Strait Islander cultures, knowledge systems, and a mature understanding of contemporary issues.

GQ7 Interdisciplinary effectiveness

Interdisciplinary effectiveness is the integration and synthesis of multiple viewpoints and practices, working effectively across disciplinary boundaries.

GQ8 Integrated professional, ethical, and personal identity

An integrated professional, ethical and personal identity is understanding the interaction between one’s personal and professional selves in an ethical context.

GQ9 Influence

Engaging others in a process, idea or vision.

Outcome map

Learning outcomes Graduate qualities
GQ1 GQ2 GQ3 GQ4 GQ5 GQ6 GQ7 GQ8 GQ9

This section outlines changes made to this unit following staff and student reviews.

Lecture notes, tutorial questions, and applied project have been updated according to the student feedback.

Disclaimer

The University reserves the right to amend units of study or no longer offer certain units, including where there are low enrolment numbers.

To help you understand common terms that we use at the University, we offer an online glossary.