Lecture [1] of economitric

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This document discusses concepts in econometrics and provides an example using Indy 500 race data. It introduces ordinary least squares (OLS) and least absolute deviation (LAD) as two main technical concepts in econometrics. It then analyzes the Indy 500 data set to determine the average rate of increase in miles per hour of winning cars over time using OLS and LAD to fit trend lines to the data.

ELEMENTARY ECONOMETRICS Econometrics is about learning from data 04/21/11 ,[object Object]

What can be learnt from data? ,[object Object],[object Object],[object Object],[object Object],04/21/11 ,[object Object]

A first example ,[object Object],[object Object],04/21/11 ,[object Object]

The INDY 500 Data Set 04/21/11 ,[object Object]

INDY 500 Data Plot 04/21/11 ,[object Object]

Questions ,[object Object],[object Object],[object Object],[object Object],[object Object],04/21/11 ,[object Object]

Fitting a trend line ,[object Object],[object Object],[object Object],[object Object],04/21/11 ,[object Object]

SWITCH to EXCEL for rest ,[object Object],[object Object],04/21/11 ,[object Object]

LAD: minimize w.r.t a,b 04/21/11 ,[object Object]

OLS: minimize w.r.t. a,b 04/21/11 ,[object Object]

MINUTE PAPER ,[object Object],[object Object],04/21/11 ,[object Object]

Thank You For feedback [email_address] 04/21/11 ,[object Object]

I make this ppt for my presentation in bba 1 year. I give an example and so the proper solution: Q.Two competing companies offer satellite television service to a city with 100,000 households. Figure 2.1 shows the changes in satellite subscriptions each year. Company A now has 15,000 subscribers and Company B has 20,000 subscribers. How many subscribers will each company have in one year? SOLUTION The matrix representing the given transition probabilities is Thanks for watching my ppt and error please comment

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