Project Description Assignment

1. Which problem will you be addressing? (Copy and paste your chosen prompt description)

2. Why is it an important problem to solve? What is the impact? What's the big picture?

3. How will you be answering the question? Will you use regression analysis?

4. If you're planning on using regression analysis, you must answer the following questions:

a. Does anybody in your group have experience using Stata? Stata is a program commonly used in economic consulting that is somewhat similar to Excel, but much more powerful. Who? (If not, it's fine, but it makes the regression analysis a lot easier)

b. What will your dependent variable be?

c. How is your dependent variable quantified? Please be specific. For instance, rather than saying "home value," say "home value, as measured by price at last sale" or "home value, as measured by Zillow's Zestimate."

d. Where is data for your dependent variable available? Provide a link.

e. What independent variables do you plan to explore?

f. Where is the data for your independent variables available? Provide a link.

g. Why do you think these independent variables are relevant? (For instance, if you're doing topic 2, you might say "I think crime rates are relevant to house prices because people are probably willing to pay more money for a house in a safe neighborhood since they value their security")

h. Define multicollinearity. You can copy and paste a definition.

i. Create a table that lists your dependent variable and independent variables, along with 10 observations for each. Run a regression in Excel or Stata include the output here. Does anything stand out?

5. If you are NOT planning on using regression analysis, you must answer the following question:

a. Describe your general approach. Will it be rooted in examination of relevant literature? Relevant studies? Will you be interviewing people? Who?

b. Compare and contrast your methodology with regression analysis. What are 3 ways you think it is better? 3 ways it might be worse?

c. List the titles and authors of 5 scholarly articles or studies that are relevant to your topic.

d. Read one of the articles and summarize it here in 2-3 paragraphs.

Course Project Guideline

Students, working individually (discouraged but allowed) or in small groups (preferred), will use methods studied in this course to address a real problem. Your analysis need not be econometric. Our course project pertains to the economics of real estate. You may select a topic related to real estate that interests your group. Here are a couple:

• How does new construction and/or remodel construction in a neighborhood affect home prices? Is construction a leading indicator for future higher prices for local residents in neighborhoods undergoing construction?

• What neighborhoods or areas in Los Angeles are experiencing the "hottest" real estate markets? Which neighborhoods or areas are likely to become the next hot market? Which neighborhoods have shown the greatest price increase and what are the factors that lead to price appreciation? Which neighborhoods represent the best likelihood for capital gains if you are an investor?

• What are trends in the use of real estate agents and agencies? Do agents and or access to the MLS provide superior outcomes for buyers or sellers?

Groups may not exceed seven students. Each group must formulate a problem or topic that is approved by the Professor. Group projects will be graded according to effort and completeness.

Project description:

You are expected to work on this project throughout the semester (especially important to identify any data availability problems early, and possibly pick a different topic).You must provide a project description to the Professor. This should be a minimum one-page description of the problem you will be addressing (i.e., your research question), the expected dependent variable, an initial causal model, a description of the data you plan to use, and sources of those data. Or if a non-econometric solution, please describe your methods (theory, empirical review, interviews, or whatever you will be doing).

Your written paper should be modeled after a client-focused report. It should include the following sections (in the order given here):

• A one-page executive summary. The summary should review the question motivating the analysis and the major findings.

• A background section that describes the motivation for the analysis, including information on the problem you are addressing, and the context.

• A literature review of the relevant research.

• A data section that describes the data used in detail, the sources of the data, how they were collected, and their reliability. Any limitations of the data should be described here.

• A methods section that describes the methodology employed and why it is appropriate.

• A results section that describes the results of your analysis and any limitations/concerns about the validity of your analysis.

• An implications/conclusion section that develops the implications of your analysis for the problem or question you are addressing.

A references section that identifies the sources of all materials cited in your paper.

The report must not exceed 20 pages (double-spaced, 12 point Times New Roman font, 1-inchmargins, etc.), not including the executive summary, references, and technical appendices. You need to turn in one copy of the paper per group on your day of presentation and submit it on Blackboard (one submission per group only).

Attachment:- Attachments.rar