Economics and Data Science

Consumers and firms interact in markets, motivated by their self-interests. Yet, remarkably, these selfish interactions result in efficient market outcomes, clearing markets and balancing supply and demand. This raises the question: is there an invisible hand" guiding them toward these desirable outcomes? We will provide you with the building blocks of graduate-level microeconomics. We will cover the standard economic models of individual decision-making under different environments

Economic data is abundant in public policy and business applications, ranging from central banks to small firms. With a dataset at your desk, which method should you use to analyse these data and how? What are the potential pitfalls? This module will equip you with skills to choose appropriate econometric methods and execute them professionally. You will develop an understanding of the conventional linear regression model in cross section, time series and panel data, as well as explore more advanced techniques like instrumental variables estimation. We will focus on the application of econometric methods, with little emphasis on the mathematical aspects of the subject. You will use a computer software package for practical work throughout this module, both as a means to provide applications of the theory developed in lectures as well as to give you experience in the use of such software for your own empirical research.

What explains business cycle fluctuations in modern economies? Can fiscal or monetary policy interventions improve macroeconomic performance? And what determines economic growth over long periods of time? This module explores modern macroeconomic theory at the postgraduate level, as an aid to understanding contemporary macroeconomic issues. We study short-term fluctuations in macroeconomic performance (e.g., in GDP, unemployment or inflation) and how macroeconomic policy may be used to address these, as well as the determinants of long-term economic growth. The emphasis is on learning theoretical concepts and analytical techniques, to evaluate macroeconomic issues and  understand theoretical mechanisms behind empirical patterns.

Writing a dissertation is the culmination of your master’s programme. What are the skills you need to do this independent, original research project? You will be guided through the iterative process of developing and refining your dissertation proposal so you will be ready to dedicate yourself to it in the late summer term. Based on your initial ideas, you will be matched with a supervisor to help you refine your research question and identify the relevant literature, research methods and actions you will need to answer it. Lectures and workshops will introduce the main empirical strategies for causal inference. You will learn about identification based on observables, randomized control trials, difference-in-differences, instrumental variables, and regression discontinuity design. You will also use econometric software in the analysis of data and estimations. By the end of the module, you will be able to analyse datasets using these methods and present a refined dissertation proposal that will appropriately apply one or more of these methods to your question.

Writing a dissertation is an exciting opportunity to conduct your own original piece of research at high level under the guidance of your dissertation supervisor, a specialist in your area of interest. You will go into depth, investigating and specialising in your interest area whilst developing advanced research skills. Applying these skills means you won’t just graduate with knowledge in your area, you’ll be able to investigate and research other topics so you can grow and adapt with the changing business world throughout your career.

You may also opt for a co-delivery arrangement with Brac University, Bangladesh, or North South University, Bangladesh, in which you are hosted by Brac / North South and jointly supervised by academic staff members from Kent and Brac / North South University (one supervisor from each institution). This option gives you the opportunity to travel abroad on a scholarship and use data from and get to know several NGO’s that collaborate with these two Bangladeshi universities.

Are you interested in the global financial markets? Do you want to know what drives a country’s exchange rate and what determines an open economy’s current account position? This module is designed to introduce you to the main theoretical and empirical models of international financial relations in open-economy context. You will find out about the most widely debated topics in international finance, such as exchange rates, capital flows, financial crises, current account and debt dynamics will be studied in this module. This module will provide you with the economic foundations for a full understanding of these debates from a rigorous point of view. Working on the areas of financial economics and development (be it on private or public institutions) requires a solid knowledge of the topics studied in this module. We will focus not only on the analytical side of the stories but also on their empirical relevance. You will learn the strong foundations of the theory and empirics of international macroeconomics and finance and will analyse the impact of international monetary flows on national economies.

How do investors construct the best portfolio, and why is the portfolio the best for the investor? Why do some assets have higher returns than others? This is a classical module on advanced financial economics that provides the technical foundation of economic analysis of portfolio problems and asset pricing. The module covers key economic principles, such as discounting, diversification, expected utility, and no-arbitrage, and discusses each asset class, such as bonds, equities, and their derivatives (instruments), emphasizing the general idea behind them. Although different types of assets require different methods of valuations and risk control, the basic principles are common to all asset classes. The economic analysis of capital market instruments provides a solid platform for understanding, interpreting, and developing analytical models of the dynamics of financial markets and making informed decisions on their basis. The foundations are central to students who see their future careers among financial market actors as well as at national or international institutions that oversee and regulate financial market activity.

Economies worldwide are confronted with severe environmental problems. How can we apply environmental economics to help design, implement and evaluate environmental policies in developed and developing economies? We will discuss the properties of economic growth models with environmental elements and their implications for long-run sustainable development. Then you will explore environmental valuation techniques and how these can be incorporated into economic decision-making processes to contribute to sustainable economic growth and development. You will gain knowledge of the key non-market valuation techniques that are used to monetarily value environmental goods and services. You will be equipped to contribute to improving the protection and management of natural resources and the wider environment, with career opportunities in national and local government, environmental regulation, environmental consultancy, NGOs and research organisations.

Money and credit perform a range of crucial functions in market economies. This module studies the microeconomic foundations of money and credit, and the roles played by money and credit markets in contributing to macroeconomic growth, fluctuations and crises. Throughout the module, we also consider the roles of government institutions including central banks and financial regulators within modern markets for money and credit. The module makes use of theoretical models to aide understanding and analyse policy. These models are motivated by and tested against historical and contemporary evidence. We explore and compare a variety of frameworks for organising monetary policy and the particular challenges facing modern central banks in how they implement monetary policy today. We understand the microeconomic foundations of banking and how these should influence financial regulation, examining the linkages between the private banking sector, central banks and monetary policy throughout the module.

How does economic development happen and why, in many instances, do we see ‘development failures’? In the first part of the module, you will learn about different aspects of the development phenomenon such as industrialisation, structural transformation, migration, fertility decline, and technological change. In the second part, you will learn about institutional failures – political, legal, social and economic – and how individuals, social groups and governments deal with these failures (using informal institutions, social networks and various policy interventions). We will use both classical texts, and modern theoretical and empirical tools for studying the behaviour and constraints of individuals, households and firms in developing country settings. Throughout, we will emphasize (i) the use of rigorous theoretical models to understand the process of economic development and strategic interaction between agents; and (ii) identifying causal effects in empirical analysis.

Further details on AIX’s website

Further details on AIX’s website

Further details on AIX’s website

Further details on AIX’s website

Further details on AIX’s website

Further details on AIX’s website

Further details on AIX’s website

Further details on AIX’s website

Further details on AIX’s website

Further details on AIX’s website