Post graduate Diploma in Economics
The Post Graduate Diploma in Economics at MDAE is offered jointly with Department of Economics (Autonomous), University of Mumbai.
Our unique teaching methods focus on applied learning and case studies rather than on rote learning. Students will participate in workshops and seminars with top economists and finance professionals from around the world. Given our corporate connections, students will get the opportunity to participate in live projects. Further, upon completion of the Program, we placed 95% of our students in internships and full time jobs. Students are currently working at leading firms in consulting, finance, data analytics, public policy and industry.
The Program is meant for graduates from any discipline who would like to learn economics, finance, data analytics or public policy to solve real world problems. The Program is also useful for young professionals who would like to develop applied post graduate skills to further their careers.
Learn more about our courses:
The program adheres to a philosophy of continuous assessment throughout the academic year to ensure that students effectively master the course materials and get enough opportunities to test their mastery. To this end, the students will be graded on the following:
- End-of-course examination
- Periodic problem sets
- Writing assignments
- Contribution to classroom discussion
- Classroom Attendance
The precise breakup of the final course grade into these diverse components, and also the precise form that these components will assume in each course, will remain at the discretion of the faculty instructor, and will be communicated to students via the course syllabus that the instructor will hand out on the first day of the course.
The purpose of these courses is to prepare students for the Core Courses that will follow. Since not all students accepted into the program will have an undergraduate education in economics, the Foundations Courses will introduce them to the essential elements of economic and statistical theory. For students who do join the program with some undergraduate economics training, the Foundations Courses will serve to review concepts that they may have forgotten, in a style that may yet be new to them.
Learning Outcomes & Skills
- Rigorous understanding of mathematical and statistical concepts
- Ability to solve mathematical and statistical problems
- Foundational knowledge of microeconomics and macroeconomics
- Preparedness for the Core Course
Foundation courses will cover three subjects:
Economic analysis is inherently quantitative, and so students must develop a rigorous understanding of the mathematical foundations that economic theory utilizes. In this course students will learn:
- What a function is, and how to represent functions using algebra and graphs
- Concepts of limits, continuity, differentiation and integration
- How to differentiate and integrate a function of one or more variables
- How to solve optimization problems
- How to work with vectors and matrices
- How to solve a system of equations
Economists work with data drawn from the real world, and students are required to become proficient with the basic tools of data analysis. In this course students will learn:
- What a random variable is, and how to describe it using the concept of probability
- How to work with common probability distribution functions such as the Binomial, Poisson and Normal distributions
- How to compute the expected value and variance of a random variable
- How to work with jointly distributed random variables
- How to formulate a statistical hypothesis, and how to test it
- How to compute confidence intervals
Computing & Data
This course will introduce students to the basics of programming. The students will learn to develop algorithms and learn the basic constructs of a language using a pseudo language. This will all be practically applied through Excel and R.
After developing a solid foundation, all students are required to take a set of three Core Courses:
- Applied Microeconomics
- Advanced Macroeconomics
- Econometrics for Business
Each of these courses lead the students into an in-depth exploration of topics that every economist is expected to be proficient in. These courses will also prepare students for the Elective Courses, which provide training in more specialized sub-disciplines of finance, public policy and data analytics.
Learning Outcomes & Skills
- Rigorous understanding of markets and how they function
- Ability to solve problems in microeconomics and macroeconomics
- Ability to structure and analyze economic data with the software R
- Knowledge of real-world markets, economies and policies
- Ability to critically evaluate news articles about ongoing economic developments in India and abroad
- Ability to critically evaluate academic and policy research in economics
- Ability to write short- and long-form pieces on real-world economics issues
- Ability to prepare and understand simple financial accounts
- Preparedness for stream specialization in the Elective Courses
Microeconomics is the study of choice under constraints and is the ground of all economic theory. In this course, students will learn:
- What the concept of equilibrium in a market is
- How to model consumption choice as a utility maximization problem, and how to solve it
- How to extend the consumer’s choice problem to other contexts
- How firms decide what to produce and how much to produce
- How consumers and firms meet and interact in different kinds of markets: competitive, monopolistic, duopolistic and oligopolistic
- How some of those interactions can be usefully modeled using the techniques of game theory
- Real-world examples of market failure and policies that attempt to restore markets to their proper functioning
While microeconomics studies individual markets, macroeconomics considers the economy at large, as a general equilibrium system of many simultaneously occurring markets In this course, students will learn:
- How to measure “macroeconomic aggregates” like GDP, inflation, unemployment
- How to conceptualize the macroeconomy as the interplay between three different markets
- How to construct and work with the IS-LM framework
- Why some countries are rich while others are poor
- What central banks and governments can do to alleviate the problems of unemployment and inflation
- The role of financial markets, such as the markets for stocks and bonds
- How exchange rates can sometimes become instruments of monetary policy, and why countries may sometimes wish to adopt a common currency
- Real-world case studies of recessions, financial crises and monetary union
Econometrics for Business
Econometric analysis is a crucial component of the professional economist’s toolbox, and this course builds on the Foundations Course in Statistics to teach students:
- How to formulate testable hypotheses from economic theories, and how to test such hypotheses
- How to “fit” econometric models to the data (commonly called the “specification problem” in econometric analysis) and how to remedy the problems intrinsic to this approach, viz. selection bias, autocorrelation, heteroscedasticity, multicollinearity, and endogeneity
- The use of instrumental variables in estimating causal relationships
- The relevant estimation techniques to model limited dependent variables (such as logistic regression)
- How to work with a statistical programming software such as R to estimate a variety of econometric models
There are 10 elective courses on offer, of which, students will choose 4 for credit (and are allowed to audit one or more of the remaining 6). Of the 10, 9 are divided into 3 streams of 3 courses each. A student is not required to, but may wish to, specialize in one of the 3 streams, and if he/she decides to do so, then he/she must take all 3 courses in that stream, and 1 additional course to complete the 4 for-credit courses.
The 10th course, Crises, does not fit neatly within any one stream, but students who specialize in the Finance or Public Policy streams may consider it as their 4th for-credit elective course since the course has elements of both finance and public policy.
Alongside the three courses in each stream, students will also be offered Workshops/Econ Labs. These are not required for credit, but students specializing in a stream are strongly advised to attend the Workshops/Econ Labs being offered in that stream, as these will illustrate some of the principles taught in that stream and also offer additional training that is often required for jobs in the arena of that stream.
Speaker Series, Workshops/Econ Labs and Case Studies
MDAE has incorporated three academic innovations in its program:
The Speaker Series will serve as an out-of-the-classroom venue for students to encounter exciting intellectual developments in the disciplines of economics and finance. A prominent academic or practitioner delivers a talk on a topic drawn either from their research or their work, and a discussion follows with members of the audience. These events are open to all members students, corporates, academics and the general public.
A list of past Speaker Series Events and lecture summaries can be found here.
The Workshops/Econ Labs closely track what the students have learned in the classroom, and broaden and deepen their understanding of it. During each of these events, a prominent professional economist delivers a talk on a concrete real-world problem that he or she has grappled with, and that problem will serve as an illustrative application of concepts learned in the courses. Each of the Core Courses will offer Workshops/Econ Labs, while each of the streams in the Elective Courses will also offer its own set of Workshops/Econ Labs.
A list of Econ Lab Events and lecture summaries can be found here.
An objective of this program is to ensure that students develop the necessary framework to analyze various economic problems in the real world. We have designed numerous case studies, exploring the depths and details of many economic puzzles and crises. For instance, the Advanced Macroeconomics course incorporates case studies on Japan’s lost decade, Korean growth story, and the Euro Crisis in its syllabus. Through discussions of these case studies, students hone their analytical and critical thinking skills.