Applied Economics

Numbering Code G-ECON31 6A521 LB43 Year/Term 2021 ・ Second semester
Number of Credits 2 Course Type Lecture
Target Year Target Student
Language Japanese and English Day/Period Wed.3
Instructor name IDA TAKANORI (Graduate School of Economics Professor)
Outline and Purpose of the Course Theme: Carrying out successful field experiments and natural experiments _x005F_x000D_ _x005F_x000D_ Students in this course will study the foundations, development, and applications of field experiments and natural experiments, which, in recent years, have become vital tools in economics. _x005F_x000D_ _x005F_x000D_ Field experiments consist of social experiments using randomized controlled trials; they exclude self-selection bias to identify the true effects of policy measures. In order to correctly determine treatment effects (the actual results of intervention), subjects are assigned at random to a control group or a treatment group, with the differences in each group before and after treatment analyzed via certain parameters. In recent years, the subject of field experiments has been addressed from the perspective of development economics by authors such as Abhijit Banerjee and Esther Duflo ("Poor Economics: A Radical Rethinking of the Way to Fight Global Poverty"), as well as Dean Karlan and Jacob M. Appel ("More Than Good Intentions: How a New Economics is Helping to Solve Global Poverty"). _x005F_x000D_ _x005F_x000D_ Due to the difficulties of managing budget scopes, conducting field experiments in developed nations such as Japan and the U.S. on such crucial research themes as energy and medical care has become difficult. Here at the Yoda Laboratory, we have been conducting field experiments for smart grids (next-generation power systems) as collaborative research with Japan's Ministry of Economy, Trade and Industry since 2010. This course will offer lectures on the knowledge gained from these experiments. _x005F_x000D_ _x005F_x000D_ In the future, field experiments will perhaps rival lab experiments as an indispensible tool in the field of economics. They may also enable those who are studying fields such as microeconometrics and behavioral economics to write high-profile treatises on these subjects. We invite those interested in this subject to join us. _x005F_x000D_ _x005F_x000D_ The first half of this course will begin with behavioral economics and industrial economics, in which (basic) field experiments will be studied, so we recommend taking those classes in tandem with this one.
Course Goals Students should gain the ability to plan and conduct field experiments in conjunction with their research theme and use behavioral economics to scrutinize the results.
Schedule and Contents Week 1 through Week 15: _x005F_x000D_ _x005F_x000D_ Group readings of fundamental theses and technical texts and presentations on the progress in participants' individual studies. _x005F_x000D_ _x005F_x000D_ The following four texts will be used as reference: _x005F_x000D_ [1] Rachel Glennerster, Kudzai Takavarasha. Running Randomized Evaluations: A Practical Guide, Princeton Univ. Pr. (2013/11/4) _x005F_x000D_ [2] Alan S. Gerber, Donald P. Green. Field Experiments: Design, Analysis, and Interpretation, W. W. Norton & Co. Inc. (Np) (2012/5/29) _x005F_x000D_ [3] Dunning, Thad (2012). Natural Experiments in the Social Sciences: A Design-Based Approach. Cambridge University Press. _x005F_x000D_ [4] Esther Duflo, Abhijit Banerjee (2017). Handbook of Field Experiments Vol 1&2. Elsevier.
Evaluation Methods and Policy Grading primarily focuses on everyday activities. _x005F_x000D_ (Presentations during the course, presentation of reports as necessary, etc.)
Course Requirements Applicants should have a basic knowledge of microeconomics and econometrics or be studying the subjects simultaneously.
Study outside of Class (preparation and review) Students must prepare when scheduled to give a presentation.
Textbooks Textbooks/References Instructed during class
References, etc. Introduced during class