Thursday, May 5, 2011

Cookbook Econometrics

"First, catch your hare"
(Mrs. Beeton- recipe for jugged hare)

(I understand that it's debatable whether or not Mrs. Beeton actually wrote those precise words, but they're generally attributed to her and it's still pretty good advice.)

Cookbooks certainly have their place, but sometimes they're misunderstood or misused. Indeed, sometimes they're mislaid, and then if you don't understand the rudiments of cooking you're either going to go hungry, or you may create something very unpalatable. The same is true when it comes to certain types of econometrics courses or textbooks.

I'll lay it on the table - I am definitely not a fan of "Cookbook Econometrics".

Here's what I'm referring to.