1,Research Methodology in Applied Economics,Dr. Hwang Jaw Lee Visiting Professor, CARD Zhe-Jiang University April 3, 2003,2,We do a better job of teaching theory and tools than teaching their use Students need more training in the relevance and application of the tools.,COMMISSION ON GRADUATE EDUCATION IN ECONOMICE, American Economic Association,1991,3,Research methodology provides the principles for organizing, planning, designing, and conducting research. The central reason for studying research methodology is that it provides a time-tested, proven means of producing new, reliable knowledge.,4,Economic research methodology is, in a sense, science and art of economics rolled together, with its goal being to both expand our knowledge and make the knowledge relevant the contemporary world.,5, Doing research entails,planning and design the research implementing and completing the analysis disseminating the results of the research,6,Two aspects of economic research,Discovery - deals with formulating, finding, and creating new knowledge or information - alternative avenues of exploration and the like requiring questioning, probing, pursuing a creative process an art side of discipline Confirmation - deals with discerning the validity or reliability of knowledge or information - the “science” side of discipline,7,The Definition of Research,Websters Collegiate Dictionary (1977) studious inquiry or examination; esp.: investigation or experimentation aimed at the discovery interpretation of facts, revision of accpted theories or laws in the light of new facts, or practical application of such new or revised theories.,8,Andrew and Hildebrand(1982) the orderly procedure by which man increases his knowledge. Ghebremedhin and Tweeten(1988) the application of the scientific approach to the study of a phenomenon Leedy(1985) the manner in which we attempt to solve problems in a systematic the validity of the solutions to problems others have presumably resolved,9,Research is the systematic approach to obtaining new and reliable knowledge.,10, Classifications of Research,Basic vs. Applied Research Disciplinary, Subject-Matter, and Problem-Solving Research Analytical vs. Descriptive Research Qualitative vs. Quantitative Research,11,12,The Definition of Methodology,Websters Collegiate Dictionary(1977) a body of methods, rules, and postulates employed by a discipline;the analysis of the principles or procedures of inquiry in a particular field.,13, Schematic of the Research Process,14,Guidelines for helping you to be creative,Gather and use previously developed knowledge; Exchange ideas with other people, especially your colleagues; Capture your intuition by applying deductive logic; Cultivate the ability to look at things in alternative ways; Question or challenge assumptions; Practice searching for patterns or relationships among occurrences or things;,15,Do not be afraid to take risks; Cultivate a degree of tolerance for uncertainty; Allow your curiosity; When you are unable to resolve a troublesome problem, try abandoning it, at least in your conscious mind, for a while; Discipline yourself to write down your thoughts; Create situations in which you have freedom from distraction;,16, The Search for Quantitative Economic Knowledge The Postulation Approach logic to obtain knowledge,17, The Experimental Approach Reproducible knowledge,18, The Econometric Approach,19,20, Econometric analysis of economic models,21, Linkages among Components of a Research Project,