Applied Economics and Statistics
Group Project
This is an end-of-term group project worth 30% of total module mark. There are 4 or 5 students in one group, and you should work on and complete this project together, as a group. The group allocation will be published on Canvas near the time. Please choose one topic out of two below and answer all questions on that topic.
• Submission deadline: Thursday 8 May 2025 (after Easter break)
• Word limit: 1500 words
• Please submit the Data Ethics Form. on Canvas before your final submission.
Topic 1 Crime rates and wage
Your submission should contain answers to all the questions below.
1. With reference to Becker’s model, explain the theoretical relationship between regional crime rates and average wage. [15%]
2. Construct an empirical model that can be used to test the theoretical relationship you provide in Q1 (for example, OLS regression model). Explain the variables you choose in your model. [25%]
3. Based on the model you create in Q2, find the data needed on the variables in your model. You need to consider the sample size, decide the time period and regions or countries of your data. You may discover you are not able to find data on some of your variables, hence, you may need to revise the model accordingly. For instance, you could find crime data from https://data.police.uk/, and wage rate data from https://www.statista.com/statistics/416097/full-time-hourly-wage-uk-by-region/, but you are strongly encouraged to look for more datasets (dependent on what variables you choose for your model), compare and combine them to construct your own datasets. [30%]
4. Estimate the model and interpret your results. [30%]
Topic 2 Happiness
Your submission should contain answers to all the questions below.
You have been introduced to various research on happiness. On this topic, you are asked to implement a student survey and investigate what affects the happiness of different groups of students at University of Birmingham.
1. Step 1 - Design a survey questionnaire, which should contain 15 to 25 questions and is aimed to help you understand the happiness of your fellow students and its determinants. You should also adopt Likert scale where appropriate and provide instructions to participants on how to complete your survey questions. You will need to complete the Data Ethics Form (one form per group) before your final submission. You need to provide participation information and get participants’ consent (please find in the suggested template for questionnaire). Submit the questionnaire in Word or PDF format you design. Survey questionnaire is not included in the word count. [25%]
2. Step 2 - Distribute your questionnaire to the sample you select. When deciding your sample, you may wish to consider what your sample is and the sample size. For instance, how many students you wish to survey? Do you want to focus on students from Economics department, Business School, or even the whole University of Birmingham? How many students do you plan to survey on? How do you ensure the randomness of your sample selection? Do you wish to distribute the survey online, or in person? You can consider a few online free platforms for distributing the survey, such as, Google online form (you may need a gmail account), etc. But you do need to ensure the responses are all from UoB students. Your submission should include a summary on how you complete Step 2.
3. Step 3 - Collect and analyse your survey data. You may wish to produce some descriptive statistics on the data you collect, and conduct basic empirical analysis dependent on the sample size you obtain. Your submission should include a summary on Step 3. [25%]
4. Step 4 - Interpret your results, with reference to the theories and research introduced in the lecture. You are also encouraged to use extended references. The interpretation of your results should be included in your submission. [25%]