Business Studies I, i.e., Regression Analysis)

Instructor - Dr. James J. Cochran

• 117A CAB Building

TTh  8:30 a.m. - noon

W    8:30 a.m. - 11:30 a.m.

or by appointment

Required Text

Draper, Norman R. & Harry Smith, Applied Regression Analysis, Wiley-Interscience Publishing, 3^rd edition, 1998.

Other Suggested Texts

Rudolf J. Freund & Ramon C. Littell, SAS System for Regression, SAS Institute and John Wiley & Sons, 3^rd edition, 2000.

Bowerman, Bruce L. & Richard T. O'Connell, Linear Statistical Models: An Applied Approach, Duxbury, 2^nd edition, 1990.

Rawlings, John O., Sastry G. Pantula, & David A. Dickey, Applied Regression Analysis: A Research Tool, Springer-Verlag, 1^st edition, 1998.

Kutner, Michael H., Christopher J. Nachtsheim, John Neter, & William Li, Applied Linear Statistical Models, M^cGraw-Hill Irwin, 5^th edition, 2005.

Cook, Dennis R. & Sanford Weisberg, Applied Regression Including Computing and Graphics, Wiley-Interscience Publishing, 1^st edition, 1999.

Belsley, David A., Edwin Kuh, & Roy E. Welsh, Regression Diagnostics, John Wiley & Sons, 1^st edition, 1980.

Prerequisite(s)

• QA 233 (Basic Business Statistics)

• QA 390 (Calculus & Linear/Matrix Algebra)

• QA 432 (Intermediate Business Statistics)

• Computer literacy (ability to learn and use SAS, etc.)

Grading

• Interim Exam                            150 points

• Literature Review Project          150 points

• Comprehensive Final                 200 points

Course Overview

This is the first of three courses in sequence (QA 622, QA 605, and QA 610). These courses will be linked through discussion of common material (statistical modeling) from various perspectives (linear regression, design of experiments, and multivariate statistics). We will discuss linear regression during the first academic term, the design and analysis of experiments during the second academic term, and multivariate statistics during the final academic term of the sequence.

Course Objectives

The purpose of this course is to provide the student with an understanding of how to use statistical modeling techniques for basic business research.  This purpose will be achieved through understanding:

• for what uses different statistical models are suitable and why they are appropriate for their intended use;

• the circumstances under which the use of particular statistical models are appropriate;

• the mathematical mechanics of each statistical model;

• how to interpret and explain the results achieved when using various statistical models; and

• how to perform these analyses using the computer.

You will be expected to do much more than simply solve textbook problems. Above all else, you must be able to determine what statistical course of action is most appropriate under various circumstances. This means you must understand the concepts (not just memorize them). In doing so you will enhance your analytic and critical thinking skills.

Students With Learning Disabilities

Any student with a diagnosed learning disability should advise me of any special considerations (extra time for exams, exam proctors, etc.) immediately so that we can make proper arrangements for exams, etc. Please do not hesitate to see me about such issues. Louisiana Tech University is subject to the Department of Health, Education, and Welfare regulations implementing Section 504 of the Rehabilitation Act of 1973. Section 504 provides that "No otherwise qualified handicapped individual in the United States . . . shall, solely by reason of his handicapped be excluded from participation in, be denied the benefits of, or be subjected to discrimination under any program or activity receiving Federal financial assistance. This regulation includes students with hearing, visual, motor, or learning disabilities and states that colleges and universities must make 'reasonable adjustments' to ensure that academic requirements are not discriminatory. Modifications may require rescheduling classes from inaccessible to accessible buildings, providing access to auxiliary aids such as tape recorders, special lab equipment, or other services such as readers, note takers, or interpreters. It further requires that exams actually evaluate students' progress and achievement rather than reflect their impaired skills. This may require oral or taped tests, readers, scribes, separate testing rooms, or extension of time limits.' I sincerely endorse this policy and encourage you to please see me if you do have a diagnosed learning disability so that I can work with you to ensure that you have the same educational opportunities as all other students.

Webpage

1. updates on reading assignments, case assignment due dates, examination schedules, and general information;

2. the syllabus;

3. ‘The Ten Deadly Sins of College Composition’;

4. ‘Suggested Problem Solving Techniques’;

5. the slides presented during lectures (to be posted after the material has been thoroughly discussed in class)

You should visit and review this page regularly.

Literature Review

You are required to review at least eight academic papers published in refereed journals in your discipline that use regression analysis. This assignment is intended to help you familiarize yourself with the journals in your discipline and how researchers in your discipline use regression. In your report you should

1. summarize each paper and explain how regression is used within the context of the the research;

2. critically evaluate the use of regression in each paper, i.e.,

   • what was done correctly;

   • what was done incorrectly; and

   • what else could have been done.

3. identify trends or specific areas of application (i.e., in management, is regression analysis used frequently in studies of strategic management? organizational behavior? industrial psychology?); and

4. suggest other fruitful areas for the application of regression analysis in your discipline.

Begin collecting papers early - talk to faculty in your discipline and ask them to recommend journals and/or papers (try to look at seminal papers in your discipline - you will learn the most from these). Your analysis should be typed, double spaced, and stapled or bound (with one inch margins and 10 or 12 point font). You may review the papers you find sequentially (but try to group similar papers) or you may write a narrative that describes the uses of regression in your discipline and cites the papers you have found (this is the preferred approach!). I will evaluate your final analysis on the basis of i) how well you explain each paper and its use of regression analysis, ii) the quality of your written presentation (grammar, style, etc.), and iv) the succinctness of your written analysis in determining your grade on this assignment.

Homework

All textbook problems listed on the tentative outline are assigned. Homework problems assigned from the text will not be collected and will be discussed only if questions are asked.. This does not imply that I believe these problems to be unimportant. On the contrary, I believe that these problems are a critical component of your learning experience in these courses. I suggest that you form study groups and share the burden of working these problems.

Class Participation

Participation in classroom discussion of course material, homework problems, and cases is essential for good understanding, particularly in graduate studies. Questions and comments are encouraged. However, discussion of anything (including course material) with other students is rude and disruptive and will not be tolerated. Repeated late arrivals to class are also rude and disruptive and will not be allowed. Reading newspapers (or other non-class related material) is also rude and disruptive and will not be permitted. Unless silent, cell phones and pagers must be turned of prior to the beginning of class and remain off for the duration of the class.

Interim Examinations

The Interim Exam may consist of essay questions and problems covering the assigned material.  Essay questions will ask you to explain important concepts to which you have been exposed.  The problems will test your ability to i) select and apply the appropriate statistical model to the problem, ii) possibly use the computer to develop the statistical model, and iii) interpret the results obtained using the chosen model.  These problems will test your ability to apply the techniques presented in the readings and lectures and will not necessarily be similar to the assigned homework problems.

You may indicate any questions you have regarding the grading of your exam on the top margin of the first page of the exam and I will re-grade whatever you question (be specific - I will re-grade everything you ask me to look at, and this could result in an adjustment in either direction to your grade). Such questions must be submitted within one week of the return of the graded exams/distribution of the exam grades for possible grade adjustment - I certainly will attempt to explain the grade at any point, but will not consider making an adjustment after this deadline).

Comprehensive Final Examination

The format of the comprehensive final exam will be similar to the format of the Interim Exam; that is, the comprehensive final exam may consist essay questions and problems covering the assigned material.  Essay questions will ask you to explain important concepts to which you have been exposed.  The problems will test your ability to i) select and apply the appropriate statistical model to the problem, ii) possibly use the computer to develop the statistical model, and iii) interpret the results obtained with the chosen model.  These problems will test your ability to apply the techniques presented in the readings and lectures and will not necessarily be similar to the assigned homework problems.

 You may stop by my office and review your graded final exam during the quarter following the exam. However, you must submit (in writing) any questions you have regarding the grading of your exam for a re-grade. Again, I will re-grade whatever you question (be specific - I will re-grade everything you ask me to look at, and this could result in an adjustment in either direction to your grade). Such questions must be submitted within one week of the first day of the quarter immediately following the final exam for possible grade adjustment - I certainly will attempt to explain the grade at any point, but will not consider making an adjustment after this deadline.

Final Grades

I will only consider adjusting grades (i.e., “curving”) when assigning the final grades. If you wish to receive your final grade before official grade reports are mailed, you may leave a stamped, self-addressed envelope with me by the day of your final exam and I will mail your grade to you. I cannot, under any circumstances, send your grade to you through e-mail or give a grade out over the telephone. I will also retain your formula sheets and final exams for you to review for the first three weeks of the following (Winter) quarter. The only justifications for changing final grades are i) mistakes in grading and ii) mistakes in recording your grade(s). No second chances (i.e., incompletes or retakes) will be given once you have taken your final exam.

Extra Credit

No opportunities to gain extra credit are provided.

Policy on Late Assignments and Missed Exams

Late assignments will not be accepted. If you know you will miss a class when an assignment is due you may turn the assignment in early, give the assignment to a classmate to turn in for you on the due date, or mail the assignment to me on or before the due date so that the postmark shows that the assignment was completed on time. Late computer assignments will be accepted only if the date given on the printout satisfies the due date. If you miss a interim exam, prior arrangements have been made with me, and documentation of an acceptable reason (medical emergency, death in family, automobile accident) is provided, I will re-weight your final examination so that it counts for both the missed interim exam and the final exam.

 Policy on Reporting Grades  

In accordance with the Family Education Rights & Privacy Act (FERPA), I am not permitted to:

• post a physical list of your grades;

• give a grade over the telephone; or

• give a grade through e-mail.

If you are not in class when I distribute a graded assignment or exam, you must come to my office (either during office hours or by appointment) to receive your grade. If you wish to receive your final grade before the Registrar records and posts it, you must give me a SASE by the time you take your final exam so that I can mail your final grade to you. I will not be in my office during the academic break, so the only way to receive your final grade early is to provide me a SASE by the time you take your final exam.

Student Responsibilities

1. Be seated and ready to begin when class starts.

2. Remain seated throughout the class (unless you have an emergency).

3. Remain attentive throughout the class.

4. Refrain from disruptive behavior throughout the class.

1. Don’t talk to other classmates (about anything) during class.

2. Turn cell phones and beepers with audible signals off.

5. Take responsibility for your education:

1. Come to class prepared (i.e., with your assignments completed).

2. Ask questions when you don’t understand.

3. Do your own work (i.e., don’t cheat).

4. Be concerned about understanding and learning - your grade will take care of itself.

5. Take initiative to work out problems on your own.

6. Complete all prerequisites prior to enrolling for this class.

1. Have an appropriate level of mathematical maturity.

2. Be computer literate at the necessary level.

Instructor Responsibilities

1. Arrive to and begin class promptly.

2. Don’t keep class beyond the dismissal time.

3. Be prepared and organized for each lecture.

4. Attempt to give students a perspective that differs from the textbook.

5. Encourage students to i) ask questions and ii) think about the course material.

6. Provide students with i) concrete examples and ii) opportunities to work on realistic applications.

7. Maintain reasonable availability to discuss questions with students outside of class.

1. Have a reasonable amount of accessible office hours.

2. Be available, with reasonable advance notice, for appointments of reasonable i) length and ii) time.

FAQ’s

17. Why do we need to spend so much time on linear algebra? I am not working toward a Ph.D. in statistics, and I only want to learn how to use statistics.

1. There are three reasons for our focus on the mathematics of statistical modeling:

1. You will need to understand the mathematics in order to be able to learn additional statistical techniques after you have completed this sequence of courses. A primary goal of this sequence of courses is to help you to become autodidactic;

2. You will need to understand the mathematics in order to read and understand the research literature in your field (keep in mind that this sequence of courses is required of all DBA students at Louisiana Tech University and must meet everyone’s needs); and

3. You will not be able to compete with graduates from other business doctorate programs if you are unable to do anything other than use SAS and read printouts.

17. Why do we work so much with 'theory' and 'abstract formulas' that I will never use in my research?

1. First, understand that we really never discuss statistics on a theoretical level in this course. We may discuss the basic foundations of a method or why a method works or doesn't work under certain circumstances, but this is not statistical theory. The formulas that we discuss are not abstract, either - understanding them yields tremendous insight into how and why these formulas work. If you feel that the formulas are abstract, you need to spend more time carefully reviewing them so that you better understand them.

17. This course is taught at a much higher level than I need in my major area of study - why can't we focus on SAS and leave the mathematics to mathematicians?