Journal of Economic and Social Measurement - Volume 32, issue 2-3

Authors: Kristensen, Nicolai | Westergaard-Nielsen, Niels

Article Type: Research Article

Abstract: We analyze measurement and classification errors in several key variables in a matched sample of survey and administrative longitudinal data on employees spanning 1994–2001. The data are much more comprehensive than usually seen in validation studies. Measurement errors in earnings …are found to be much larger than reported in previous studies limited to one single firm. A key finding is that employees who attrite from the panel report their earnings significantly less accurate than individuals who are observed throughout the entire sampling period. Show more

Keywords: Measurement error, classification error, validation

DOI: 10.3233/JEM-2007-0283

Citation: Journal of Economic and Social Measurement, vol. 32, no. 2-3, pp. 65-92, 2007

Authors: Schwabish, Jonathan A.

Article Type: Research Article

Abstract: This paper investigates the likelihood of rounding as a source of bias in survey data. The analysis uses thirty years of March Current Population Survey data, the 1990 Census, and the 1996 Survey of Income and Program Participation matched to …Social Security Administration data to measure the magnitude and direction of rounding by worker characteristic. The results show three distinct trends. First, more people round their earnings today than in the past. Second, groups that are more likely to round their earnings include men, people in their prime working years (35 to 64), and those with high levels of education or with high levels of earnings. And third, using the matched data, these respondents appear to round their earnings down. Show more

Keywords: Measurement error, match bias, CPS, IPUMS, SIPP

DOI: 10.3233/JEM-2007-0284

Citation: Journal of Economic and Social Measurement, vol. 32, no. 2-3, pp. 93-111, 2007

Authors: Bação, Pedro

Article Type: Research Article

Abstract: This paper studies the relation between different formulas for computing aggregate price indices and estimates of inflation persistence. The relevance of "aggregation bias" for policy making is discussed. We show that "aggregation bias" may not be a concern for a …cautious policy-maker. We also show that chained indices are likely to be preferred by econometricians, rather than log-aggregates. Show more

Keywords: Inflation, aggregation, chain indices, persistence, monetary policy

DOI: 10.3233/JEM-2007-0285

Citation: Journal of Economic and Social Measurement, vol. 32, no. 2-3, pp. 113-127, 2007

Authors: DeFina, Robert H.

Article Type: Research Article

Abstract: This study provides empirical evidence on recent trends in poverty among working families based on the headcount rate and a broader alternative that incorporates the headcount rate, the depth of poverty and income inequality among the poor. Estimates reveal that …the different indexes produce significantly different trends. The headcount rate indicates a reduction in overall working poverty for the sample period, while the alternative index showed no statistically significant change. The same result was found for various population subgroups. Decompositions of the index changes show that tax changes contributed to lower values for both the headcount rate and the alternative index, largely due to recent expansions of the earned income tax credit. Changes in transfer payments added to measured poverty, mirroring the retrenchment of welfare and other transfer programs. Shifts in market-based income decreased both indexes. Show more

Keywords: Poverty, inequality, working poor, poverty measurement, anti-poverty policy

DOI: 10.3233/JEM-2007-0286

Citation: Journal of Economic and Social Measurement, vol. 32, no. 2-3, pp. 129-147, 2007

Authors: Wallace, Geoffrey L. | Haveman, Robert

Article Type: Research Article

Abstract: The employment and earnings effects of the state-oriented federal welfare reform legislation of 1996 have been extensively studied using either survey or administrative data. Because information may differ substantially across these sources, it is difficult both to identify the true …effects of these interventions and to compare evaluation estimates of these interventions that rely on these different data sources. This paper uses data gathered as part of the Wisconsin Child Support Demonstration Evaluation to examine the extent to which administrative (unemployment insurance) and survey records on employment and earnings for a sample of low-skilled women are congruent. Our findings suggest that there are substantial differences in both mean earnings and mean employment rates between survey and unemployment insurance (UI) data. We identify the extent to which these disparities can be explained by differences between these data sources in the definition of earnings or the method of data collection. We also examine the differences between UI and survey sources in estimates of employment and earnings growth among low-skilled women. Show more

DOI: 10.3233/JEM-2007-0287

Citation: Journal of Economic and Social Measurement, vol. 32, no. 2-3, pp. 149-176, 2007

Authors: Stewart, Jay

Article Type: Research Article

Abstract: Previous research has used short, 2-year panels constructed from matched CPS files to examine a number of topics. This paper shows how researchers can examine labor market transitions using March CPS data without matching, demonstrates that separation rates from these …panels are comparable to those generated using the more traditional approach of comparing two points in time, and describes the adjustments required to ensure that the series are consistent over time. The main advantage to using unmatched data, compared with matched data, is the absence of attrition bias and an unbroken time series dating back to 1976. I provide two examples of how these short panels can be used to address issues that would normally require longitudinal data. Show more

DOI: 10.3233/JEM-2007-0288

Citation: Journal of Economic and Social Measurement, vol. 32, no. 2-3, pp. 177-197, 2007