1.1 Welcome

This book was originally (and currently) designed for use with 2122-EN0P15-ECONOMETRICS-II, at the Antonio de Nebrija University (Madrid). It may certainly be used elsewhere, but any references to these notes should use the original references cited at the end of each section or included as footnotes.

These notes are under active development

Since this book is under active development you may encounter errors ranging from typos to poorly explained topics.

These notes are possible due to the existence of the incredible pieces of software by Xie (2016), Xie (2020), Allaire et al. (2020), Xie and Allaire (2020), and R Core Team (2020).


All the material in these notes is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International Public License (CC BY-NC-ND 4.0). You may not use this material except in compliance with the former license. The human-readable summary of the license states that:

You are free to: - Share – Copy and redistribute the material in any medium or format.

  • Under the following terms:

    • Attribution. You must give appropriate credit, provide a link to the license, and indicate if changes were made. You may do so in any reasonable manner, but not in any way that suggests the licensor endorses you or your use.
    • NonCommercial.You may not use the material for commercial purposes.
    • NoDerivatives. If you remix, transform, or build upon the material, you may not distribute the modified material.