School of Business

ECON3006 Economic and Financial Modelling

Spring 2024
 Western Sydney University acknowledges the peoples of the Darug, Dharawal, Eora and Wiradjuri nations. We also
acknowledge that the teaching and learning currently delivered across our campuses is a continuance of the teaching
and learning that has occurred on these lands for tens of thousands of years.

Subject Details

Subject Code: ECON3006

Subject Name: Economic and Financial Modelling
Credit Points: 10
Subject Level: 3
Assumed Knowledge: Not Applicable

Note: Students with any problems, concerns or doubts should discuss those with the Subject Coordinator as early as they can.

Subject Coordinator
Name: Associate Professor Maria Estela Varua
Phone: +6196859656
Location: 1 PSQ, Level 10 - Office visits limited during this time.
Email: [email protected]
Consultation Arrangement:
Please liaise directly with the academic teaching this subject regarding appropriate consultation times. It is usually
best to make contact with A/Prof. Varua (Maria - Estela) via email.

Additional information will be made available in class for group consultation.

Teaching Team
Name: Dr. Anna Uro Evangelista
Location: 1 PSQ, Level 10 - Office visits limited during this time.
Email: [email protected]
Consultation Arrangement:
Please liaise directly with the academic teaching this subject regarding appropriate consultation times. It is usually
best to make contact Dr. Evangelista (Anna) via email.

Director of Academic Program

Edition: Spring 2024

Copyright ©2024 University Western Sydney trading as Western Sydney University ABN 53 014 069 881 CRICOS Provider No: 00917K No part of this publication may be reproduced or transmitted in any form or by any means,
electronic or mechanical, including photocopying, recording, or by any information storage and retrieval system, without the prior written permission from the Dean of the School. Copyright for acknowledged materials reproduced
herein is retained by the copyright holder. All readings in this publication are copied under licence in accordance with Part VB of the Copyright Act 1968.
Name: Professor Kevin Daly
Phone: Contact Details Extension : 3546 Telephone : (02) 4620 3546
Location: Campbelltown Building : 11 Room : 11.G.29
Email: [email protected]
Consultation Arrangement:
It is usually best to make contact with Professor Daly (Kevin) via email.

Academic Program Advisor

Name: Dr. Edward Mariyani-Squire
Location: 1PSQ, Level 10 - Office visits limited during this time.
Email: [email protected]
Consultation Arrangement:
It is usually best to make contact with Dr. Mariyani-Squire( Edward) via email
Contents
1 About Economic and Financial Modelling 2
1.1 An Introduction to this Subject . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
1.2 What is Expected of You . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
1.3 Changes to Subject as a Result of Past Student Feedback . . . . . . . . . . . . . . . . . . . . . . . . 6

2 Learning and Teaching Activities 7

3 Assessment Information 10
3.1 Subject Learning Outcomes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10
3.2 Assessment Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10
3.2.1 Mid-semester examination . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13
3.2.2 Research project . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16
3.2.3 Practical exercises (12 in total, should complete at least 6) . . . . . . . . . . . . . . . . . . . 19
3.2.4 Final examination . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22

4 Readings and Resources 24

4.1 Essential Readings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24
4.2 Recommended Readings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24
4.3 Other Teaching and Learning Resources . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25

5 Key Teaching and Learning Policies 27

1
1 About Economic and Financial Modelling

1.1 An Introduction to this Subject

Economic and Financial Modelling examines regression analysis and its use in business especially in economics,
finance and accounting. Topics will include the properties of estimators, hypothesis testing, specification error,
multicollinearity, dummy variables, heteroskedasticity, serial correlation. It also introduces other modelling techniques
in finance and economics. Empirical assignments undertaken by the student form an integral part of the subject.
The emphasis is on learning by doing in small group workshops.

1.2 What is Expected of You

Study Load

A student is expected to study an hour per credit point a week. For example a 10 credit point subject would require
10 hours of study per week. This time includes the time spent within classes during lectures, tutorials or practicals.

Note for Summer Terms: As Summer subjects deliver the same content and classes over a shorter period of time,
the subjects are run in a more intensive mode. Regardless of the delivery mode, the study hours for each subject in
Summer will be around 30 hours.

Attendance

It is strongly recommended that students attend all scheduled learning activities to support their learning.

Approach to Learning

To achieve the outcomes for this subject, the teaching will focus on both the theoretical and practical components
of economic and financial modelling. It is highly recommended for students are to review concepts learned in
Introduction to Economic Methods or Statistics for Business prior to lecture 1. A n on-line test is made available
to students to gauge their preparedness to undertake the subject. The concepts covered in the online tests are
further discussed in Readings 1 and 2. Students are strongly encouraged to read the various Readings before
coming to lectures and workshop sessions and to attempt all multiple choice questions posted on vUWS. These
review questions are also distributed in face to face workshops .

The emphasis on application is reflected in a major focus on experiential learning. This is further reflected in the
two short case studies and the two long case studies reports (as extension of the two short case studies)t, which
requires student groups to solve an economic, social or financial problem. Furthermore, workshops will make
extensive use of real data set and real world problems.

Workshops

Workshops following the review of the on-line lecture in each session provide students the opportunity to apply and
share knowledge by doing a variety of in-class activities individually or in a group such as exercises and discussion.
These activities focus on demonstrating your skills and help you build your ability to achieve the learning outcomes
for this subject.

2
Workshop questions/exercises will be provided in the vUWS site. You will be expected to have completed specific
reading and exercises from the textbook and other required materials prior to attending each lecture and tutorial
class. If you have not prepared adequately, you will not get the full benefit from this learning opportunity.

Referencing and citation requirements

This subject uses the American Psychological Association (APA) referencing style. Full details and examples are
available on the Library website.

Assignment cover sheet

You are to keep a copy of all assessments submitted for marking.

Submission through vUWS and Turnitin indicates your acknowledgement and acceptance of the workbeing your
own. Some assessments may be required to be submitted with an assignment cover sheet (check the submission
requirements section for each assessment). In these instances, links to assignment cover sheets can belocated in your
vUWS site.

Group assignments are to be submitted with a group assignment cover sheet indicating the names of all group
participants. Some subjects may also require you to submit a peer evaluation of group member participation. This
may be conducted online or in hard copy format. Details will be provided via the vUWS site.

Study Load

A student is expected to study an hour per credit point a week. For example a 10 credit point Subject would require
10 hours of study per week. This time includes the time spent within classes during lectures, tutorials or practicals.

Attendance

It is strongly recommended that students attend all scheduled learning activities to support their learning. Advisable
to attend at least 80% of the session.

Online Learning Requirements

Subject materials will be made available on the Subject’s vUWS (E-Learning) site (https://vuws.westernsydney.
edu.au/). You are expected to consult vUWS at least twice a week, as all Subject announcements will be made via
vUWS. Teaching and learning materials will be regularly updated and posted online by the teaching team.

Special Requirements

Essential Equipment: None but if you intend to work on your activities at home then you need access to a reliable
computer.

Legislative Pre-Requisites: None though advisable to have completed either Introduction to Economic Methods or
Business Statistics.

3
 Academic Integrity and Student Misconduct Rule

Western cares about your success as a student and in your future career. Studying with academic integrity safeguards
your professional reputation and your degree. All Western students must:

- be familiar with the policies listed above;

- apply principles of academic integrity;

- act honestly and ethically in producing all academic work and assessment tasks; and

- submit work that is their own and acknowledge any sources used in their work.

Each time you submit an assessment, you will declare that you have completed it individually, unless it is a group
assignment. In the case of a group assignment, each group member should be ready to document their individual
contribution if needed. You will also declare that no part of your submission has been:

- copied from any other student’s work or from any other source except where appropriate acknowledgement is
made in the assignment;

- submitted by you in another (previous or current) assessment, except where appropriately acknowledged, and

_ with prior permission from the Subject Coordinator;

- made available to others in any form, where individual work is required;

- written/produced for you by any other person.

The Student Misconduct Rule applies to all students of Western Sydney University including Western Sydney Univer-
sity programs taught by other education providers. You must not engage in academic, research or general misconduct
as defined in the Rule or you may be subject to sanctions. The University considers submitting falsified documentation
in support of requests to redo, resit or extend submissions, including sitting of deferred examinations, as instances of
general misconduct.

More information on studying with integrity is available on the Study with Integrity webpage. It is your responsibility
to apply these principles to all work you submit to the University.

Avoid using external ’support’ sites or other external help

To avoid the risk of your assignment being shared without your knowledge, do not upload your assignment to any
external sites for spelling, grammar or plagiarism checks. Your safest option is to use the free services provided by
Library Study Smart or Studiosity.

Avoid using any websites that:

- allow sharing of assignments or other material

4
- reward sharing of material with credits, tokens; or access to additional materials/features/services;

- provide answers to textbook or assignment/exam questions;

- provide free sample assignments; and/or include order buttons and prices; and/or

- invite you to submit your assignment for plagiarism or grammar or other checks.

Engagement with academic cheating sites will be regarded as misconduct. Academic cheating services often market
themselves as ’support’. Engagement with these sites includes:

- Sharing assignments or course material;

- Using online tools provided by these sites to check for plagiarism, grammar or spelling; and/or

- Purchasing writing services, or obtaining a copy of an assignment.

Uploading your work to these sites may lead to your work being shared with others with or without your knowledge
and consent.

The Australian Government monitors current and past students’ use of academic cheating services, and may report
student material found on these sites or other forms of engagement to universities.

Current students with items found on academic cheating sites face sanctions under the Student Misconduct Rule.
Outcomes for graduates may include revocation of award. For more information see https://www.westernsydney.
edu.au/currentstudents/current_students/student_misconduct_rule.

More advice can be found on the Study with Integrity webpage.

Need help?

If you are having difficulties with understanding or completing an assessment task, contact your Subject Coordinator
as soon as possible. Western also has a range of academic support services, including:

- Library Study Smart: book a one-to-one Zoom consultation with a literacy expert. You can discuss how to develop
your assignment writing and study skills or seek assistance to understand referencing and citation requirements. Check
the Library Study Smart website for how-to study guides and tools.

- Studiosity: Upload your assignment draft to Studiosity within vUWS to receive writing feedback within 24 hours.

- Online workshops, programs and resources: From maths and stats help to academic literacy and peer support
programs, the University has a range of resources to assist.

Please also remember that there is a range of wellbeing support available - from counselling and disability services to
welfare

Online Learning Requirements

Subject materials will be made available on the subject’s vUWS (E-Learning) site (https://vuws.westernsydney.edu.
au/). You are expected to consult vUWS at least twice a week, as all subject announcements will be made via vUWS.
Teaching and learning materials will be regularly updated and posted online by the teaching team.

5
1.3 Changes to Subject as a Result of Past Student Feedback

The University values student feedback in order to improve the quality of its educational programs. The feedback
provided helps us improve teaching methods and subjects of study. The survey subjects results inform subject
content and design, Subject Outlines, teaching methods, assessment processes and teaching materials.

You are welcome to provide feedback that is related to the teaching of this subject. At the end of the
semester you will be given the opportunity to complete a Student Feedback on Subject questionnaire to assess the
subject. If requested by your subject coordinator, you may also have the opportunity to complete a Student
Feedback on Teaching (SFT) questionnaire to provide feedback for individual teaching staff.

As a result of student feedback, the following changes and improvements to this Subject have recently been made:

– (1) introduce two short case studies to help student complete the group Long Case Studies reports (see 3);
– (2) revise the on-line review questions to help students review the concepts discussed in each modules;
– (3) change the report format into long case study reports format following from (1) ; and
– (4) organise extra revision sessions before the mid-semester and final exams.

6
 2 Learning and Teaching Activities

Teaching Topic Preparation Activities Assessment Due

Weeks
Week 1 Module 1 : Introduction - The Nature Chapter 1-3 Getting to Know Your Colleagues -
22-07-2024 of Economics and Economic Data & Networking
Review of Fundamentals of Statistics

Form a research group (if possible find a

study buddy/ies)

Prep Task Module 1

Week 2 Module 2: Simple Linear Regression- Chapter 4 Register your research group on VUWS - Practical exercises (12 in total, should
29-07-2024 Cross Section Data complete at least 6)

Prep Task - Module 2

Weekly Multiple Choice Review Quiz

-Module 1
Short Case Study: Release of Cross
7

Section Data Question s

Week 3 Session 3: Multiple Regression Analysis Chapter 5 Meet with your group and discuss the - Practical exercises (12 in total, should
05-08-2024 with Cross Section Data short Case Study #1 complete at least 6)
Prep Task - Module 3
-Estimation Weekly Multiple Choice Review Quiz -
Module 2
Week 4 Module 4: Multiple Regression Analysis Chapter 6 Group to submit answers to Short Case - Practical exercises (12 in total, should
12-08-2024 with Cross Section Data - Inference Study #1 complete at least 6)

Prep Task - Module 4

Weekly Multiple Choice Review Quiz -

Module 3
Week 5 Module 5 : Multiple Regression Analysis Chapter 7 Start working on your group’s Long - Practical exercises (12 in total, should
19-08-2024 - Model Specification Case Study Report #1 complete at least 6)

Prep Task - Module 4

Weekly Multiple Choice Review Quiz-
Module 4
 Teaching Topic Preparation Activities Assessment Due
Weeks
Week 6 Module 6: MID-SEMESTER Review Modules 1-5 Before doing the exam complete the - Mid-semester examination
26-08-2024 Weekly Multiple Choice Review Quiz -
Module 5
EXAMINATION Mid-semester Testis on-line.

Week 7 Module 7: Multiple Regression Analysis Chapters 8 & 9 Continue working on your Long Case
02-09-2024 Study Report #1
-Dummy Variables/Heteroskedasticity -Prep Task - Module 7

Weekly Multiple Choice Review Quiz-

Module 4

Week 8 Module 8: Mid-Semester Break Relax and if you have time catch up
09-09-2024 with your readings.
Continue working on your Long Case
Study Report #1
Week 9 Module 9 : Regression Analysis with Chapter 10 Submit Long Case Study #1 Report - Research project
16-09-2024 Time Series Data I- Estimation and - Practical exercises (12 in total, should
Inference complete at least 6)
8

Prep Task - Module 9

Weekly Multiple Choice Review Quiz -
Module 7
Short Case Study 2 - Time Series
Questions Released

Week 10 Module 10 :Regression Analysis with Chapter 11 Groups to work on Short Case Study - Practical exercises (12 in total, should
23-09-2024 Time Series Data II - Serial Correlation #2 complete at least 6)
and Heteroskedasticity

Prep Task - Module 10

Weekly Multiple Choice Review Quiz-
Module 9

Week 11 Module 11: Modelling Highly Persistent Chapter 11 Group to Submit Short Case Study #2 - Practical exercises (12 in total, should
30-09-2024 Time Series Data complete at least 6)

Release of Long Case Study #2

Questions

Prep Task - Module 11

 Teaching Topic Preparation Activities Assessment Due
Weeks
Weekly Multiple Choice Review Quiz -
Module 10
Week 12 Limited Dependent Variables Chapter 14 Groups to Work on Long Case Study #2
07-10-2024
Prep Task - Module 12
Finalise your group’s research report
Prep Task - Module 12
WeeklyMultipleChoiceReviewQuiz-
Module 11

Week 13 Time Series Recap - Long Case Study 2 Chapters 10, 11 and 14 Groups to Finalise Long Case Study #2
14-10-2024
Weekly Multiple Choice Review Quiz-
Module 12
Week 14 REVISION Chapters 1-5 , 9-11 and 14 Groups to submit Long Case Study - Research project
21-10-2024 Report #2
Review Questions Made Available to
Students
Week 15 STUVAC
28-10-2024
9

Week 16
04-11-2024
Week 17
11-11-2024
Week 18
18-11-2024

The above timetable should be used as a guide only, as it is subject to change. Students will be advised of any changes as they become known on the Subject’s vUWS site.
3 Assessment Information

3.1 Subject Learning Outcomes

Outcome
Assurance of Learning Information for Learning Guides

The School of Business is an AACSB (Association to Advance Collegiate Schools of Business) accredited
School. Accreditation results from an extensive self-review and an international peer evaluation against
rigorous criteria and standards of quality academic and professional excellence. The process is one of con-
tinuous improvement and includes ongoing assessment of whether learning activities and resources are well
aligned to program goals and learning outcomes. Assurance of learning (AoL) forms part of the accredita-
tion standards for AACSB. Information regarding the subjects that are involved in the AoL process for your
program can be found on the following webpage https://www.westernsydney.edu.au/schools/sobus/as-
surance_of_learning
1 Apply the basic elements of econometric modelling and forecasting
Demonstrate how standard computer software may be used to analyse simple financial and economic
2
problems with a statistical package
3 Demonstrate ”hands-on” experience in constructing econometric models
4 Define business problems and analyse using appropriate quantitative techniques

3.2 Assessment Summary

The assessment items in this subject are designed to enable you to demonstrate that you have achieved the subject
learning outcomes. Completion and submission of all assessment items which have been designated as mandatory or
compulsory is essential to receive a passing grade.

To pass this subject you must:

- Complete all assessment items.

- Achieve an overall mark of at least 50 per cent.

Assessments in this subject have been developed to collect evidence of student attainment of learning outcomes. The
summary table below shows which assessment tasks are used to assess subject and program-level learning out- comes.

Item Weight Due Date SLOs Assessed Manda- Threshold

tory
Mid-semester 20% Session 6 30 August 2024 1, 4 Yes No
examination
Research project 20% Long Case Study #1 : 16 1, 2, 3 Yes No
September 2024; Long Case
Study #2 : 25 October
2024
Practical exercises (12 10% On-line test : Weekly; Short 1, 2 Yes No
in total, should Case Study #1 : 18 August
complete at least 6) 2024 ; Short Case Study #2 :
30 September 2024
Final examination 50% During Examination Period 1, 2, 3, 4 Yes No

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Feedback on Assessment

Feedback is an important part of the learning process that can improve your progress towards achieving the learning
outcomes. Feedback is any written or spoken response made in relation to academic work such as an assessment
task, a performance or product. It can be given to you by a teacher, an external assessor or student peer, and may
be given individually or to a group of students. As a Western Sydney University student, it is your responsibility to
seek out and act on feedback that is provided to you as a resource to further your learning.

Note: Before you receive your results for each piece of assessment they may be moderated. Moderation is a process
whereby the subject coordinator regulates the marking of individual markers to achieve consistency in the application
of subject objectives, performance standards and marking criteria. You should note that, consistent with the Criteria
and Standards Based Assessment policy, the final marks for the cohort may be also adjusted if marks are very high
or low or there are inconsistencies between teams. Marks for an individual piece of assessment will not be changed
after you have your moderated results.

Note: It is required that students attempt all available assessment elements. An automatic Fail Non - Submission
grade will be awarded if any assessment task is not submitted/completed as per the details specified. Please note as
well that you only need to attempt the on-line practical exercises but submit the two short case studies as a group.
The case studies will be marked.

Academic Integrity and Student Misconduct Rule

Western cares about your success as a student and in your future career. Studying with academic integrity safeguards
your professional reputation and your degree. All Western students must:

– be familiar with the policies listed below;

– apply principles of academic integrity;
– act honestly and ethically in producing all academic work and assessment tasks; and
– submit work that is their own and acknowledge any sources used in their work.

Each time you submit an assessment, you will declare that you have completed it individually, unless it is a group
assignment. In the case of a group assignment, each group member should be ready to document their individual
contribution if needed.

The Student Misconduct Rule applies to all students of Western Sydney University including Western Sydney Univer-
sity programs taught by other education providers. You must not engage in academic, research or general misconduct
as defined in the Rule or you may be subject to sanctions. The University considers submitting falsified documentation
in support of requests to redo, resit or extend submissions, including sitting of deferred examinations, as instances of
general misconduct.

More information is available in the Academic Integrity Guidelines. It is your responsibility to apply these principles
to all work you submit to the University.

Disruption to Studies and Requests for Extensions

Western recognises that there may be times when things outside of your control impact your ability to complete your
studies.

You can complete the ”Request an extension or apply for a Disruption to Studies Provision” to request that you are:

– granted an extension,
– excused from a compulsory teaching activity,
– provided an alternate assessment such as a supplementary, or
– awarded another Disruption to Studies Provision.

Before you fill in the form, you should:

11
 – Compile any documentary evidence that you have which demonstrates that you have been impacted by an
event outside of your control.
– The Supporting Documentation website outlines the type of documents that you can submit to substantiate
any impact.

Please note that if you don’t have documents, you should still submit the form but you may be asked for documentation
at a later stage.

Need help?

If you are having difficulties with understanding or completing an assessment task, contact your Subject Coordinator
as soon as possible. Western also has a range of academic support services, including:

– Library Study Smart: book a one-to-one Zoom consultation with a literacy expert. You can discuss how
to develop your assignment writing and study skills or seek assistance to understand referencing and citation
requirements. Check the Library Study Smart website for how-to study guides and tools.
– Studiosity: Upload your assignment draft to Studiosity within vUWS to receive writing feedback within 24
hours.
– Online workshops, programs and resources: From maths and stats help to academic literacy and peer support
programs, the University has a range of resources to assist.

Please also remember that there is a range of wellbeing support available - from counselling and disability services to
welfare.

12
3.2.1 Mid-semester examination

Weight: 20%
Type of Collabora- Individual
tion:
Due: Session 6 (week beginning 26th of August) : 30th of August
Submission: via VUWS
Format:
The mid-semester examination will take the form of 30 multiple choice questions, involv-
ing evaluation of statistical models and techniques in finance and economics, hypotheses
tests and calculations of statistics. Students will have 90 minutes to complete the mid-
semester exam.

There will be no supplementary mid-semester exam. Students who miss the exam be-
cause of valid medical or other personal reasons will need to apply officially for special
consideration. Special Consideration is given to students whose performance during the
teaching term, in an assignment or in an exam has been affected by serious misadventure,
accident or extenuating circumstances beyond their control. Applying for and receiving
special consideration means that those circumstances are taken into account when we
calculate your grade.

A student whose request for special consideration is approved will have the weighting of
his/her final exam increased on a pro rata basis to account for the missed mid-
semester exam.

The exam will not be handed back to students; however the exam results will be
discussed in class in the following week’s class. Students who wish to dispute their
mark should take up the matter with the subject coordinator.

Length: 90 minutes
Use of Artificial Intel- Use of generative artificial intelligence (AI) is not permitted in this assessment task .
ligence: Working with another person or technology in order to gain an unfair advantage in as-
sessment or improperly obtaining answers from a third party including generative AI to
questions in an examination or other form of assessment may lead to sanctions under the
Student Misconduct Rule. Use of generative AI tools may be detected. More information
is available on the Library web page.

Instructions:

The online mid-term exam provides students with an opportunity to demonstrate their understanding of subject
content. The online mid-term exam will be an open-book exam and will cover material up to and including the
lecture material presented in class in Week 5. As such it measures students’ progress towards achieving subject
learning outcomes 1 and 4.

Note that although the mid-term examination will cover topics from Week 1 to Week 5, more weights will be given
to topics 2-5.

The following materials are required for the quiz. Some questions will require writing down the equation yourself from
the STATA output.

13
 – Pen or pencil
– Writing paper
– Calculator
– Statistical Tables

The types of questions are as follows.

– Multiple Choice - only one correct answer

– Multiple Answers - more than one answer is selected
– Jumbled sentences - blanks are filled by selecting an answer from a drop-down list.

The conditions of the exam are:

– 30 Questions
– One mark per question
– One attempt only
– 120 minutes time limit
– Automatic saving of answers when the time limit is reached.
– Use only one screen. Answers might not be recorded when more than one screen is used.

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Marking Criteria:

Students must be able to produce the right answer.

15
3.2.2 Research project

Weight: 20%
Type of Collabora- Group
tion:
Due: Long Case Study #1 : 16 September 2024; Long Case Study #2 : 25 )ctober 2024
Submission: via VUWS . Note that only one person in each group submits the assignment. A cover
sheet with the team name and members must be included.
Format: The long case (LS) study reports will follow the structure as specified in the case study.
LS #1 will be using a cross section data while LS #2 will be on time series data.

It will start with a concise introduction that clearly states the objectives of the project.
Explanation of the theoretical framework, hypotheses developed, and models in equation
form follows the introduction.

Another section of the report must contain a clear and concise description of the data
and its sources. Variable description, relevant descriptive statistics and data transforma-
tions used for model estimation (if required) are discussed. This is then followed by the
empirical results section where relevant computer results are neatly summarised in tables
(see recommended format). The model should be used to test the hypotheses developed
to address the objective/s of the research. The report needs to include an account of how
the empirical model was designed to test the project’s hypotheses. Specific questions will
be provided to guide groups to complete the reports.

The report ends with concluding remarks summarising the findings and as well as identi-
fying its strengths, weaknesses and limitations. A separate guide will be made available
in vUWS. for groups to use.

Length: Up to 10 pages (3,000 words equivalency)

Use of Artificial Intel- Ethical use of generative artificial intelligence (AI) tools is permitted in this assessment
ligence: task. Any use of content from generative AI tools must be acknowledged. See advice on
acknowledging the use of generative AI on the Library web page.
Be aware that the output from generative AI tools may be incorrect, incomplete or biased.

Instructions:

The Group Case Study Reports will help students develop their quantitative skills and ability to apply various
theoretical concepts to a problem.

Learning cooperatively with peers may help students to develop interpersonal, professional, and cognitive skills to a
higher level.

Students are advised to sign up for a group in vUWS by week 1. Groups will then start working in week 2.

16
Marking Criteria:
Criteria High Distinction Distinction Credit Pass Unsatisfactory
Introduction & The introduction The introduction The introduction The introduction There is no
Objectives provides a complete provides a very includes a makes mention of introduction or it
and concise good description of description of the the objectives of fails to describe the
description of the the objectives objectives. the study objectives of the
objectives. study
Theoretical model fundamental There is a very There is a Some attempt is There is no clear
theoretical model is good description of description of the made to describe description of the
undertaken with the theoretical theoretical model the theoretical theoretical model
numbered model and its and its relevance to model. and its relevance
sequential suitably relevance to the the empirical
and clearly empirical question. question.
annotated.
Reference is clearly
made to how the
theoretical model is
germane to the
empirical questions
asked in the case
study.
Econometric Model Clear and Clear and complete Complete There is a Unclear, incomplete
comprehensive description of the description of the description of the or missing
description of the empirical model empirical model empirical model description of the
empirical model is and its use. and how it is used. and its use empirical model, its
given, how it stems use and tests.
from the theoretical
model and how the
empirical model has
been adapted to
facilitate the
required hypotheses
tests. Appropriate
use is made of
numbered
sequential and
suitably annotated
equations is made.
Data Clear account of Clear and complete A complete There is a Poor or no
data; their sources, description of base description of base description of base reference to base
and well data and required data and required data and required data and sources.
documented and transformations. transformations. transformations. No description of
presented transformation and
descriptive statistics variables used
with figures and
tables. Clear
exposition of
necessary data
transformations and
the resultant
variables used in
the analysis.
Empirical Results A clear and detailed Able to present well Able description of description of base Not clear, missing
account of designed tables and base data and data and required or not based on the
empirical results able to discuss the required transfor- transformations. results of the
showing adequate results well. mations.Clearly analysis.
reporting of discuss the results. Reporting of
statistics and irrelevant statistics
hypotheses tests. or repetitive
Accompanied by reporting of rival
appropriate well statistics and tests.
designed tables.
Structure/Writing Clear logical flow Clear logical flow of A continuing report A continuing report Disjointed report
which demonstrates the various sections with sections with sections with simply a series
cooperative of the report following each other following each other of individual and
teamwork and showing a good adequately. There may be one unrelated individual
where all members degree of or two, sections contributions.
participated in the cooperation. that may need more
final composition of work.
all parts of the
report.

17
Criteria High Distinction Distinction Credit Pass Unsatisfactory
Referencing There may be one There may be one Correctly formatted Correctly formatted Citations are not
or two, minor or two, minor citations are citations are included or are not
errors. References errors. References included where included where correctly formatted
are academic are mostly appropriate, all appropriate, all or included in the
references and not academic references citations are citations are reference list.
sourced from the . included in the included in the There is no
internet reference list, all reference list, all reference list or the
references are cited references are cited reference list is not
in the report and in the report and correctly formatted.
the reference list is the reference list is There are more
correctly formatted. correctly formatted. than one or two
There may be one minor errors in
or two, minor errors formatting.
in formatting.

18
3.2.3 Practical exercises (12 in total, should complete at least 6)

Weight: 10%
Type of Collabora- Individual
tion:
Due: On-line test : Weekly; Short Case Study #1 : 18 August 2024 ; Short Case Study #2 :
30 September 2024
Submission: These on-line review quizzes once open will stay open till Sunday (11.59pm). Students
are to complete 10 online multiple-choice quizzes on vUW. S.hort case study solutions
will be submitted by each group on VWSU
Format: These on-line review quizzes once open will stay open till Sunday (11.59pm). Students
are to complete 10 online multiple-choice quizzes on vUWS. You are only allowed one
attempt per quiz. Make sure that your quiz answers are submitted successfully before
logging out. Each quiz will have 10 multiple-choice questions randomly selected from
a large pool. Upon completion you will immediately be able to see your score and the
correct answers. The quizzes will remain open until Sunday (11.59pm) of the following
week. The marks at the end of the semester will be : completed/attempted all 10 (3%)
and Not completed/attempted all 10 (0%).
Short case study solutions will be submitted by each group on VWSU. Only one member
will submit. Each case study is worth (3.5%).

Length: 20 minutes each

Use of Artificial Intel- Online Quizzes:
ligence: Use of generative artificial intelligence (AI) is not permitted in this assessment task.Work-
ing with another person or technology in order to gain an unfair advantage in assessment
or improperly obtaining answers from a third party including generative AI to questions
in an examination or other form of assessment may lead to sanctions under the Student
Misconduct Rule.
Short Case Studies:
Ethical use of generative artificial intelligence (AI) tools is permitted in this assessment
task. Any use of content from generative AI tools must be acknowledged. See advice on
acknowledging the use of generative AI on the Library web page.
Be aware that the output from generative AI tools may be incorrect, incomplete or biased.

Instructions:

Online Quiz (individual):

Completion of online quizzes forms part of your assessment for this subject (see the Learning Guide on Practical
Exercise for further details).

The conditions of the quiz are:

– 10 Questions
– 1 mark per question
– Questions are multiple choice
– One attempt only
– 60 minutes time limit.
– Automatic saving of answers when the time limit is reached.
– Use one screen. Answers might not be saved when using multiple screens.

Short Case Studies (Group):

19
Questions for the Short Case Studies will be released as indicated in the activity schedule. When submitting, include a
cover sheet with the group’s class, number, names of members and their student IDs. Check that you have completed
the table showing the summary of results. This should be included in the same document as your answers. Only one
member in each group will upload the document.

20
Marking Criteria:

Short Case Studies: Marking Criteria for the Short Case Studies will be made available on vUWS d as soon as the
case study questions are released.

Online Quizzes: Students must be able to produce the right answer.

21
3.2.4 Final examination

Weight: 50%
Type of Collabora- Individual
tion:
Due: During Examination Period
Submission: On line via VUWS .Do not forget to save your answers throughout the exam. The
answers will not be automatically saved. This will allow you to resume the exam after an
interruption in the internet connection.
Format: The final examination will comprise of two sections: Section A and Section B.

Section A will contain 20 multiple choice questions, involving evaluation of statistical

models and techniques in finance and economics, hypotheses testing and statistical cal-
culations.

Section B will comprise of short answer questions . The questions will either, require anal-
ysis of results tables of models similar to, but not necessarily repeating, those estimated
in the subject workshops.

More information will be made available to students closer to the scheduled exam .

Length: 3 hours
Use of Artificial Intel- Use of generative artificial intelligence (AI) is not permitted in this assessment task.Work-
ligence: ing with another person or technology in order to gain an unfair advantage in assessment
or improperly obtaining answers from a third party including generative AI to questions
in an examination or other form of assessment may lead to sanctions under the Student
Misconduct Rule.

Instructions:

The examination is open book.

Duration: 180 minutes plus 15 minutes for submission

The examination is worth 50 marks and contributes 50% to your final assessment.The total marks for each part
are shown below.

Part A - 20 marks

Part B - Section B1: 10 marks

Part B - Section B2: 20 marks

22
Marking Criteria:

Marking Criteria for the Final Examination will be presented on vUWS during the study period.

23
4 Readings and Resources

4.1 Essential Readings

Prescribed Textbook

Wooldridge, JM, Wadud, Mand Lye, J 2017, Introductory econometrics, Asia-Pacific edn, Cengage Learning.

Essential Reading

The Library and the School have assessed the learning outcomes for the subject. The conclusion is that the Library’s
existing collections are sufficient to support this subject, noting that further consultations regarding essential resources
accessed through vUWS sites will occur prior to 2016.

4.2 Recommended Readings

Additional Reading

Ait-Sahalia, Y & Hansen, LP 2010, Handbook of financial econometrics, North-Hollan/Elsevier, Amsterdam; Boston.

Asteriou, D & Hall, S 2007, Applied econometrics: a modern approach, Palgrave, Macmillan.

Baltagi, BH 2011, Econometrics, Springer-Verlag Berlin Heidelberg, Berlin, Heidelberg.

Barreto, H, Howland, FM & MyiLibrary 2006, Introductory econometrics using Monte Carlo simulation with Mi-
crosoft Excel, Cambridge University Press, Cambridge; New York.

Bowerman, BL & O’Connel, RT 1993, Forecasting and time series: an applied approach, 3rd edn, Duxbury, Belmont.

Carter Hill, R, Griffiths, WE & Judge, GG 2001, Undergraduate econometrics, 2nd edn, Wiley.

Carter Hill, R, Griffiths, WE & Judge, GG 2008, Principles of econometrics, 3rd edn, Wiley.

Dougherty, C 2002, Introduction to econometrics, Oxford University Press, London.

Greene, WH 2012, Econometric analysis, 7th edn, Pearson series in economics, Pearson Education, Boston, MA.

Gregoriou, GN, Pascalau, R & Palgrave, C 2011, Financial econometrics modelling market microstructure, factor
models and financial risk measures, Palgrave Macmillan, Basingstoke.

Gujurati, DN & Porter, DC 2009, Basic econometrics, 5th edn, McGraw-Hill International, New York.

Halcoussis, D 2005, Understanding econometrics, Thomson South-Western, Australia.

Kacapyr, E 2011, Introductory econometrics for undergraduates: a student’s guide to the basics, ME Sharpe, Ar-
monk, NY.

Lardaro, L 1993, Applied econometrics, Harper Collins College Publishers, Rhode Island.

24
 Lee, MJ & SpringerLink 2010, Micro-econometrics methods of moments and limited dependent variables, Springer-
Verlag New York, New York, NY.

Levine, DM, Stephan, D, Krehbiel, TC & Berenson, ML 2002, Statistics for managers using Microsoft Excel, 3rd
edn, Prentice Hall International Inc., New York.

Maddala, GS 2000, Introductory econometrics, Prentice Hall Englewood Cliffs, New Jersey.

Mikosch, T, Kreiß, JP, Davis, RA, Andersen, TG & SpringerLink 2009, Handbook of financial time series, Springer-
Verlag Berlin Heidelberg, Berlin, Heidelberg.

Mills, TC & Patterson, K 2009, Palgrave handbook of econometrics v.2 applied econometrics, Palgrave Macmillan,
Basingstoke.

Patterson, K 2000, An introduction to applied econometrics: a time series approach, Macmillan Press, London.

Pindyck, RS & Rubenfeld, DL 1998, Econometric models and econometric forecasts, 4th edn, McGraw Hill Interna-
tional Editions, Singapore.

Ramanathan, R 1998, Introductory econometrics with applications, 4th edn, Dryden Press (Harcourt Brace).

Schmidt, SJ 2005, Econometrics, McGraw-Hill Irwin, Boston.

Stock, JH & Watson, MW 2007, Introduction to econometrics, 2nd edn, Pearson International Edition.

Studenmund, AH 2006, Using econometrics: a practical guide, 5th edn, Pearson International Edition.

Tsay, RS 2010, Analysis of financial time series, 3rd edn, Wiley, Hoboken, NJ.

Zax, JS 2011, Introductory econometrics: intuition, proof, and practice, Stanford Economics and Finance, Stanford,
California.

4.3 Other Teaching and Learning Resources

Online Resource

E-resources:

-ABI/INFORM - comprehensive business database.

- Business Source Complete - business resources for undergraduate/postgraduate use, with extensive archive of
articles. Access to industry reports, market research reports, country reports and company profiles.

- Emerald Fulltext - scholarly research in management.

- Factiva - full text business and company information from major Australian and international news sources. See
also e-resources page: http://subjectguides.library.uws.edu.au/management

Online resources E-reference collections:

- Blackwell Reference Online

25
- Virtual Library Oxford

Reference Online E-book collections:

- CRCnetBase

- Informit e-Library

Business Collection

- MyiLibrary

- NetLibrary

Related databases:

- AIMMAT: AIM Management and Training Database - a source for Australian, New Zealand and South East
Asian articles on management and training. Includes many case studies.

- Informit - Australasian content on social, economic and political issues.

- Proquest ANZ Newsstand - provides full text of Australian and New Zealand newspapers, except the AFR.

26
5 Key Teaching and Learning Policies

The University has several policies that relate to teaching and learning. Links to important policies affecting students
are below. It is your responsibility to ensure you familiarise yourself with these policies so that you are aware of your
rights and responsibilities.

– Assessment Policy
– Assessment Policy - Review of Grade Procedures
– Bullying Prevention Policy
– Disruption to Studies Policy
– Enrolment Policy
– Examinations Policy
– Learning and Teaching Policy
– Progression Policy
– Student Code of Conduct
– Student Misconduct Rule

27