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Applied Economics Business, Management & Finance Program Spring 2025 Semester - Madrid

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Applied Economics

Applied Economics Course Overview


CEA CAPA Partner Institution: Universidad Carlos III de Madrid
Location: Madrid, Spain
Primary Subject Area: Economics
Instruction in: English
Course Code: 13653
Transcript Source: Partner Institution
Course Details: Level 300
Recommended Semester Credits: 3
Contact Hours: 42
Prerequisites: A 14-week introductory course on Econometrics.


This is an introductory course to applied research in Economics. Linear econometric techniques together with the required programming skills will be studied. Actual examples of influential studies will be presented, and in some cases, replicated in computer sessions.

Section 1: Data Management and regression: Linear regression model. Models with binary dependent variable. Use and organization of gretl databases. Gretl regression.
Section 2: Instrumental Variables: Endogenous explanatory variables . Consequences on estimation and inference. Valid instruments. Tests of endogeneity and overidentifying restrictions .
Section 3: Pooled Data with Cross Sections. The difference-in-differences estimator. Panel data. First difference estimator. Fixed effects estimator. Random effects estimator.

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