Econ 7818 the Mathematica software

Professor Edward Morey

Econ 7818: Mathematical statistics for economists

The Mathmatica software: the basics

August 24, 2008

The computer software Mathematica is a good tool for your courses and your research.

Mathematica is software that does symbolic math (algebra, derivatives, integrals, logic, etc. Its graphical capabilities will allow us to visualize important concepts.

One could use it as a word processor with built-in mathematical capabilities.

In the words of the Mathematica web site:

What Is Mathematica?

You probably know Mathematica by name. Or you may be one of nearly two million users. But do you really know the breadth of capabilities Mathematica can offer you? Whatever you're working on--calculating, programming, learning, documenting or developing--Mathematica is equipped to help. Mathematica seamlessly integrates a numeric and symbolic computational engine, graphics system, programming language, documentation system, and advanced connectivity to other applications. It is this range of capabilities--many world-leading in their own right--that makes Mathematica uniquely capable as a "one-stop shop" for you or your organization's technical work.

We will use it to draw random samples from many distributions. We will use it to investigate distributions such as the Normal, Chi-Square, Student t and F distribution: distributions that play crucial roles in econometrics. We will use it to write our own code for different econometric estimates, to do simulations, and to do Monte Carlo studies.

While you are not absolutely required to use Mathematica in Econ 7818

You will be doing many group projects using Mathematica or a similar software, and everyone in you group needs to use the same software and understand what it going on.

I will need to be able to understand and follow what you turn in.

If you are a C.U. student you can download Mathematica (for Windows, Mackintosh and Linux) for free by going to

http://www.colorado.edu/its/tpsitelic/mathematica.html

Note that you might have to cut and past this link into your browser to make it work

You are downloading a 400 MB zip file so first make sure you have room on your computer, and then be patient. Count on an hour for the download, installation, and online request for a password.

After the folder downloads you need to first unzip it. The instructions on the web page say to start install by finding and clicking on "autorun.exe". This did not work for me. I got it to install using "setup.exe".

Two things before you begin. First, you will need the "name" of your computer: the name you gave the computer when you first got it. Second, you need to copy down the "MathID number for your computer. Your MathID number will appear on a Mathematica screen at the end of the install process. (Be patient, near the end of the install, the install wizard will minimize itself for a bit, wait for it to come back). Finally, Mathematica will open and suggest that you go to the web to register your product and get a password. Click the web button on the signin page. When you are at the web page, you ender the MathID number and the name of your computer. A day or two later Bruce Fast emails you your password.

Mathematica is available on the computers in the computer room for Econ graduate students, at least it was there last time I checked.

I have a problem with Mathematica: I do not use regularily use it .

The mathematical software I use on a day to day basis is not freely available to you. So, I will not be able to answer a lot of your technical questions about Mathematica. Second and third year students might be willing to provide Mathematica tips, or might decide you need to suffer as they did.

Great detail about Mathematica can be acquired from the Mathematica web site:

http;//www.worfram.com