ING2053 Statistics and Economics

Contents and structure

• Average and spread
• Histograms
• Probability and combinatorics
• Discrete and continuous distributions
• Estimation and confidence intervals
• Hypothesis test
• Business in relation to economic systems
• Cost and income theory
• Product costing
• Cost- profit-volume analysis (CVP)
• Investment analysis
• Relevant costs and decision problems

Learning Outcome

-Knowledge:

The student

• Can explain probability calculations, combinatorics and applications.
• Can describe basic terms, for example: random variables, expectation, variance and standard deviation.
• Knows different probability distributions, for example: normal distribution, binomial distribution; and test methods.
• Can explain the central limit theorem and its relevance.
• Can explain the difference between conditional and unconditional probabilities of dependent and independent events.
• Can define term in economics and can explain how costs and incomes operate in a company.
• Can use economic tools like CVP analysis, product costing and investment models to make good short long term decisions.
• Can explain the business organization, value, productivity and profitability.

-Skills:

The student can:

• Use basic methods to analysis and describe data.
• Use probability calculation generally and in connection with random variables.
• Calculate simultaneous probabilities and covariance.
• Create different types of confidence intervals of different types of data.
• Carry out hypothesis tests related to normal- and t-distributions.
• Carry out simple linear regressions and hypothesis test regarding to the equation of regression line with inclination and calculate the prediction interval.
• Use economic decision tools and can apply it to practical an theoretical issues related to investment, financing and business operations.

-General qualifications:

The student can:

• Use knowledge of the course as basis for other subjects in the education, such as thesis writing, included bachelor thesis.
• Read technical literature and communicate in the field of statistical concepts and methods.
• Communicate with economists about economic issues and notice the relationship between practical challenges and economy.

Entry requirements

None

Recommended previous knowledge

Basic mathematical operations - funktions - integration - logistics

Teaching methods

Lectures and excercises.

The course consist of two parts, statistics and economics, both parts must be passed.

Compulsory learning activities

1) Statistics: course requirements will be specified in the course plan by semester start.

2) Economics: course requirements will be specified in the course plan by semester start.

Assessment

Part 1: Written exam Statistics, 3 hours, accounts for 50 % of the final grade.

Part 2: Written exam Economics, 3 hours, accounts for 50 % of the final grade.

There is an separat exam in each part of the course. If one exam is failed, a new exam may be carried out in this part only.

Both parts must be passed.

Grade:  A - E / passed;  F / failed.

Examination support material

At both exams: Simple calculator: Allowed calculator is Casio fx-82 (all varieties: ES, ES Plus, EX, Solar etc.)

More about examination support material