Analytical and Computational Tools for Applied Economics
AAEC(ENVM) 3020
3 hours
Analytical and Computational Tools for Applied Economics
Course Description
This course will teach computational and analytical tools for applied economics applications. The topics include derivation, integration, constrained optimization, statistical theory and methods, statistical analysis, and modeling using Excel. This course will be required for students to successfully complete higher-level courses in the Department of Agricultural and Applied Economics.
Athena Title
Analytical and Comp Tools Econ
Equivalent Courses
Not open to students with credit in AAEC 3020E
Prerequisite
(MATH 2200 or MATH 2200H or MATH 2250 or MATH 2250E) and (STAT 2000 or STAT 2100H)
Semester Course Offered
Not offered on a regular basis.
Grading System
A - F (Traditional)
Student learning Outcomes
Apply differential calculus and optimization techniques including Lagrangian methods to formulate and solve economic problems such as utility maximization and cost minimization.
Interpret and analyze real-world economic data using descriptive statistics, hypothesis testing, and causal reasoning frameworks (e.g.,differences-in-differences).
Construct and communicate data summaries, visualizations, and analytical results using Excel with clarity appropriate for an economics audience.
Evaluate quantitative evidence to draw and defend conclusions about economic agent behavior under constraints.
Topical Outline
Math Section
• Functions and Graphs
• Limits and Derivatives
• Optimization
• Integration
• Multivariable Calculus
Lagrangian Constrained Optimization
Define and understand objective function with economic examples.
Define and understand a set of constraints with examples.
Find the optimal solution.
Visualize the constrained optimization problem and optimal solution in a 2D space.
Apply these concepts to economic problems to understand agents' behavior, such as utility maximization and cost minimization (producer theory).
Statistics Section and Softwares
Basics of working with real data-sets
Organize the data into summary tables with measures of central tendency and dispersion.
Visualize the data in different types of graphs on Excel.
Statistical concepts such as hypothesis testing, confidence intervals, differences in differences, time series data, and cross sectional data
The economic concept of public goods will be addressed through a classroom activity
