5008127: C15 Business Statistics I

Description

Short description
This course covers some statistical methods that can help to take decisions in business using data. These basic concepts of the statistical testing and estimating theory should – to a large extent - be known from an introductory course on probability theory and statistics in any bachelor program.

Topics

• Graphical and numerical characterizations of random variables and their distributions
• Framework and basic applications of testing hypotheses and estimating parameters
• Ordinary least squares method and its properties
• Simple linear regression including parameter estimation, diagnostic plots, hypothesis testing, predictions and model specifications using log-transformations
• Introduction to the software package R

Learning Outcomes

• Students present the distributions of random variables graphically, calculate and interpret their moments.
• Students can explain the framework of testing hypotheses and estimating parameters and apply basic procedures.
• Students criticize the assumptions of basic testing and estimating procedures and generalize the conclusions correctly.
• Students derive the minimal sample size for basic testing and estimating procedures.
• Students apply the ordinary least squares method to derive estimators and compare the statistical properties of different estimators.
• Students explain the classical linear model assumptions, run simple linear regressions, check the diagnostics plots, use log-transformations to specify models and interpret the results correctly.

Lectures Method

• The e-learning platform Moodle will be used throughout the course for the dissemination of course material and discussions.
• Students are usually asked to read corresponding parts of the lecture notes or of the textbook in order to prepare for the upcoming lectures in advance.
• In the interactive lectures, statistical concepts will be introduced and motivated by discussing examples in detail. Assignments are offered to train these skills.
• During office hours, individual problems may be discussed with the lecturer.
• In order to analyse realistic data, the software package R will be used.

Admission Requirements

We require basic knowledge of probability theory and statistics, which is usually presented in a basic course on these topics in any bachelor program. The module ''Statistik'' in the bachelor program at University of Liechtenstein serves as a guideline or benchmark for this previous knowledge.
This module is prerequisite for taking the Master’s thesis Module and writing the Master’s thesis

Literature

Compulsory reading

• Wooldridge, J.M. (2013). Introductory Econometrics. (International Student Edition, 5th edition). Mason: South Western Cengage Learning.

• Sweeney, D.J., Williams, T.A., David R. Anderson, D.R. (2009). Fundamentals of Business Statistics (International Student Edition, 5th edition). Manson: South-Western Cengange Learning.
• Berensen, M.L., Levine, D.M., Krehbiel, T.C. (2012). Basic Business Statistics (Global Edition, 12th edition), Essex: Pearson Education Limited.