ECON2102: Statistics II

Syllabus and Course Outline

Instructors:
Muhammad Ryan Sanjaya, Ph.D
Department of Economics

m.ryan.sanjaya@ugm.ac.id
Appointment: by email

Valentino Risali, M.Sc.

Department of Economics
Email: risaliv@gmail.com

Overview
Statistics II is the second part of a two-part statistics course for economics and
business students. In Statistics I, students have learned descriptive statistics such as
collecting, analysing and presenting data. In Statistics II, students will learn inferential
statistics, which provides an estimate, a prediction, a decision, or a generalization about the
population based on information contained in a sample. Students will first learn the basics of
probability theory before learning about sampling distributions, point estimation, interval
estimation, and ultimately hypothesis testing. The course will also discuss three essential
topics used extensively in the industry: nonparametric testing, and linear regression models.
The instructor facilitates two-way communication during each lecture. Students can
state their opinions or ask questions directly to the instructor when they need help
understanding the materials or detailed derivations in the lecture. Otherwise, the instructors
assume that students understand the materials or detailed derivations. Every lecture is also
open for discussion. Students are expected to prepare themselves before attending the
lectures. A similar environment is also applied in laboratory and tutorial sessions, where
students can communicate intensively with their Teaching Assistant (TA).
The course is quite technical and rigorous. You are expected to attend every lecture
and tutorial, complete problem sets, and review relevant book chapters before each meeting.
You must have the self-discipline to complete this course. Despite these challenges, the
values of mastering the topics extend beyond your undergraduate years. The instructor
encourages students to study in a group of three or four students. Each student should review
the materials independently before taking turns explaining important concepts to their peers
in the group. A student understands a particular concept if she can explain the concept to his /
her peers.
Course Materials
Students will need to access the following materials:
Prescribed textbook:
Mathematical Statistics with Applications by Ramachandran and Tsokos (TS)
Additional textbook:
 Introduction to Probability Models by Sheldon M. Ross (RO)
 Introduction to Probability and Mathematical Statistics by Bain and Engelhardt (BA)
 Statistical Techniques in Business and Economics, 16th edition Lind, Marchal (Lind)

Course Requirements
1. There will be a mid-term exam and a final exam. Students will not be given access to any
textbooks and notes during the exams. Each student must put their name and student number
on all exam papers. Exams will cover materials from the lectures, problem sets, and tutorials.
Some of the exam questions will be pretty technical, so the instructor expects students to
understand each material's concepts fully. Make-up exams will not be administered unless
justified by a doctor's note from the Gadjah Mada Medical Center (GMC). 
2. Instructor will also hand out problem sets, which serve as practice for the exams. Instructor
encourages students to first work on the problem sets on their own and then to discuss the
solutions with a small group of 3-4 students. Late submissions will not be accepted unless
accompanied by a doctor's note from the GMC. 
3. Students are required to attend tutorials held by the teaching assistant (TA). The objective
of the tutorials is two fold. First, the tutorials discuss problem sets given in the preceding
weeks. Second, students will further learn the software R studio during the tutorials. Students
are encouraged to install R on their PC or MAC. 
4. Instructor will hold 2 (closed-books and -notes) quizzes, one quiz before each exam.
Students will work on these quizzes individually. The quiz includes all materials taught
preceding the quiz. 
5. The instructor will ask questions during the class and expect students to ask questions.
Students may answer questions raised in the class and will be rewarded with points for doing
so.
6. Students must attend classes on time. Students are not allowed to enter the class and take
the quizzes if the student is late by more than 10 minutes.

Your total grade will be determined as follows:

Mid-term exam 30%

Final exam 30%
Assignments 15%
Quizzes 15%
Participation 10%
Total 100%
Letter Grade Assignments

Instructor will not curve the final grades. Students must pass the thresholds in order to pass
the class and earn a letter grade:
≥90 A
85.0-89.9 A-
80.0-84.9 A/B
75.0-79.9 B+
70.0-74.9 B
60.0-69.9 B-
50.0-59.9 C
30.0-49.9 D
< 30 E

Faculty Policies
Statement on Classroom Recording
To ensure the free and open discussion of ideas, students may not record classroom lectures,
discussions and/or activities without the advance written permission of the instructor, and any
such recording properly approved in advance can be used solely for the student's private use.
The prohibited recording includes voice recording, video recording, and picture recording.

Absenteeism
Students are expected to attend all scheduled class meetings and tutorial meetings. Absence
from class meetings shall not exceed 25%. Students who exceed the 25% limit without a
medical or emergency excuse acceptable to and approved by the Director of the
Undergraduate Program shall not be allowed to take the final exam and receive a grade of E
for this course.

Plagiarism and Ethical Conduct

Academic integrity forms a fundamental bond of trust between colleagues, peers, lecturers,
and students, and it underlies all genuine learning. There is no tolerance for plagiarism or
academic dishonesty in any form - including, but not limited to, viewing the exams of others,
cheating or sharing answers with others, using books or notes while taking the exam, copying
answers or papers, or passing off someone else's work as one's own. Plagiarism can result in
punishment in accordance with university regulation.

Course Outline
The schedule below indicates the materials that will be covered in each lecture. All weekly
materials may not be covered in class if we run out of time, but most materials will be
covered in each lecture. Students are encouraged to ask questions about concepts discussed in
the previous week at the start of each class. 
 Topic Reading
Week
1 Basic concepts of probability theory: TS Ch. 2
 Sample Space and Probability More examples about sample spaces
 Counting Techniques and and events:
Calculation of Probabilities RO Ch.1
 Conditional Probability, BA Ch.1
Independence, and Bayes’ Rule

2 Random Variables: TS Ch. 2

 Probability Distribution More examples about random variables:
 Moments, Expectation and RO Ch.2
Variance BA Ch. 2

3 Common Random Variables and Their TS Ch. 3

Properties: More examples and the detail about
 Discrete: binomial, geometric, special random variables)
hypergeometric RO Ch.2
 Continuous: uniform, exponential, BA Ch. 3
normal
4 Joint Random Variables TS Ch.3
 Probability Distribution More examples about joint probability
 Moments and Variance distribution:
RO Ch.2
BA Ch. 4
5 Conditional Expectation TS Ch. 3
RO Ch. 3
BA Ch. 4
6 Limit theorems TS Ch. 3
7 Sampling distributions TS Ch. 4
BA Ch. 8
MID TERM EXAM
8 Point estimation TS Ch. 5
LIND Ch. 9
9 Interval estimation TS Ch. 6
LIND Ch. 9
10 Hypothesis testing TS Ch. 7
LIND Ch. 10 & 11
11 Analysis of Variance TS Ch. 10
LIND Ch. 12
12 Nonparametric testing TS Ch. 12
LIND Ch. 16
13 Linear regression models TS Ch. 8
LIND Ch. 13
14 Design of experiments TS Ch. 9
FINAL EXAM