The Value of Prerequisite Courses for Statistics

Abstract

Business schools mandate prerequisites to help students prepare for the core business statistics
course. A variety of courses are offered to fulfill the prerequisite requirement and students are
free to choose which course they will take. Still, some consider the requirement an obstacle to
graduation. This paper looks at the issue from a college perspective by empirically examining
two questions: (a) Does the choice of prerequisite predict performance in the core course? And if
so, (b) do grades earned in the prerequisite course correlate with grades earned in the core
course? Results suggest that prerequisites are helpful to student learning, as measured by grades
earned. Low elasticity of grades in the core course with respect to grades earned in the
prerequisite course implies that colleges can impact leaning, albeit marginally.