While Excel is great for OLS, it lacks built-in features for advanced topics like Instrumental Variables (IV) or Maximum Likelihood Estimation (MLE). However, advanced PDF guides often show how to "trick" Excel into performing these calculations using the Solver add-in or matrix functions ( MMULT , MINVERSE ). This forces a deep engagement with the matrix algebra underlying econometrics, solidifying the student's theoretical understanding.
One of the most critical skills in econometrics is detecting non-constant variance. using excel for principles of econometrics pdf