Government Policy Evaluation

Requirements:
-    Core courses in Microeconomics, Macroeconomics and Econometrics, as part of a standard Economics degree, at an intermediate level.
-    Since the course places much emphasis on the motivation for and applicability of quantitative methods it is required that students successfully completed courses in Econometrics and Applied Economics (or equivalent courses), which are compulsory in the second and third year of the Grado del Economía at the Universidad Carlos III de Madrid.

COMPETENCES AND SKILLS THAT WILL BE ACQUIRED AND LEARNING RESULTS.
Objectives: This course studies both the econometric methods used for the evaluation of economic policies and the required programming skills. Actual examples of influential studies will be presented.

DESCRIPTION OF CONTENTS: PROGRAMME
1.- Introduction
2.- Randomized Experiments in the Social Sciences
3.- Natural or Quasi-natural Experiments
4.- Observational Studies and Matching Estimators
5.- Using Instrumental Variables to Estimate Treatment Effects
6.- Regression Discontinuity Designs
7.- The Estimation of Structural Models

LEARNING ACTIVITIES AND METHODOLOGY
Methodology includes:
1.- Theory lectures, where the models are presented and developed. Main references will be given to students
to follow the theory content of the course. In addition, specific references to some topics will be given in class
throughout the course.
2.- The first practical classes will cover an introduction to the software STATA. In the rest of the class sessions,
problem sets that contain both theoretical problems and applications will be covered. STATA will be used to study
actual data and the implementation of the techniques learnd in the theory sessions.

ASSESSMENT SYSTEM
The final grade is made up of a final exam (60% of final grade) and the continuous evaluation (40% of final grade).
Continuous assessment will be based on tests taken in the practical classes throughout the term, with special
emphasis on the ability to apply course material and concepts on real data. The test dates will be announced in
advance.
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% end-of-term-examination: 60
% of continuous assessment (assigments, laboratory, practicals?): 40

BASIC BIBLIOGRAPHY
- J. Angrist y J. Pischke Mostly Harmless Econometrics, Princeton University Press, 2008
- Raquel Bernal y Ximena Peña Guía Práctica Para La Evaluación De Impacto., CEDE, Facultad de Economía,
Universidad de los Andes. ISBN: 978-958-695-599-7.
- A. Cameron y P. Trivedi. Microeconometrics: Methods and Applications., Cambridge University Press, 2005