Probability and Statistics
Fall 2002 Mr. Lunt
( and by appointment)
Ashenfelter, Levine, and Zimmerman, Statistics and Econometrics: Methods and Applications.
Wiley 2002. (Denoted ALZ hereinafter.)
There will be two midterm exams , a scheduled final, and prob lem sets which will be turned in and
graded. Problem sets must be turned in by the due date. The lowest grade on a problem set is discarded
so you can consider one problem set to be optional. Your grade in the class will be based upon the
Problem Sets 20%
Lower Midterm 15%
Higher Midterm 25%
Final Exam 40%
However if the grade on the final exam is lower than the weighted average of the midterm grades the
weight of the final is reduced to 30% and the weights on the midterms are increased are increased to
20% and 30% respectively.
We will use the statistics program Stata and the spreadsheet program Microsoft Excel. The former
is a very powerful statistics/econometrics package and the latter is one of the most widely used
spreadsheet programs. Both programs are available on the machines in the Economics Lab. Instruction
will be provided on the use of each of these programs.
Students With Disabilities
Academ ic accommodations are available for students with documented disabilities. Please schedule an appointment
with me early in the semester to discuss any accomm odation tha t may be nee ded for the course. All
accommodations must be approved through the Office of Disability and Support Services (ext. 7584) as indicated
in their accommodation letter.
There will be an intern for the class. His name is M. Adeel Saleem. He will have regular office hours
which will be announced in class.
Reading Assignments and Course Outline
Dates Topic and Reading
September 2, 4 Descriptive Statistics, Introduction to Microsoft Excel
Handout # I Descriptive Statistics.
September 9,11,16 Probability
ALZ: Chapter 2.
September 18, 23,25,30 Random Variables
ALZ: Chapters 3, 4.
Handout # II The Poisson Distribution
Wednesday, Oct 2 Exam # I
October 7 ,9, 21 Jointly Distributed Random Variables
ALZ: Chapter 5
Handout # III Jointly Distributed Random Variables
October 11 - 20 Break
October 23, 28, 30 The distribution of sample statistics
ALZ: Chapter 6
November 4, 6 Estimation, Confidence Intervals
ALZ: Chapter 7.
Handout IV: Properties of Estimators
November 11,13,18 Hypothesis Testing
ALZ : Chapter 8
Handout V: Hypothesis Testing
Wednesday, November 20 Exam # II
November 25,27, December 2,4,9 Regression
ALZ: Chapters 9-13
TBA Scheduled Final Exam