Survey of Econometric Methods
Fall 2017
Jeffrey Parker, Reed College
Problem Set #5
Due: 11:00am, Wednesday, October 25
You are to perform the econometric analysis described in the textbook's Problem 7.7: Econometric Lab #4 starting on page 217. Write up your report as a Word (or pdf) document and send it to me as an email attachment prior to 11:00 on Wednesday, October 25.
Copy and paste all of your meaningful Stata output into your report.
Here are some useful links:
- For Step 1, the Diekmann et al. paper. This paper uses advanced econometric techniques such an endogenous switching model that models the seller's decision whether to sell at auction or on e-Bay and the implications of that decision for price. These methods are likely to be unfamiliar to you. You don't need to read the details, but you can refer to the paper as needed for more information about the variables and their specification.
- For Steps 2 and beyond, the TRACTOR7 dataset
Note: Yes, you are to do the Step 6 that Studenmund says is "optional."