Bootstrapping Student Understanding of What is Going on in Econometrics

Abstract

Econometrics is an intellectual game played by rules based on the sampling distribution concept. Most students in econometrics classes are uncomfortable because they do not know these rules and so do not understand what is going on in econometrics. This article contains some explanations for this phenomenon and suggestions for how this problem can be addressed. Instructors are encouraged to use explain-how-to-bootstrap exercises to promote student understanding of the rules of the game.

Key Words:

• bootstrapping
• Monte Carlo
• sampling distribution

Additional information

Notes on contributors

Peter E. Kennedy

Peter E. Kennedy is a professor of economics at Simon Fraser University (e-mail: [email protected]). This article is a revised version of a presentation at a conference at Middlebury College in November 1999.