IDEAS home Printed from https://ideas.repec.org/a/jae/japmet/v7y1992i1p31-51.html
   My bibliography  Save this article

Classification and Aggregation: An Application to Industrial Classification in CPS Data

Author

Listed:
  • Cotterman, R
  • Peracchi, F

Abstract

In this paper the authors offer a method for deciding how to aggregate a set of elementary industries. The method is then applied to the problem of estimating a wage equation that allows for industry-specific effects. Their method explicitly formalizes the trade-off between goodness-of-fit and parsimony implicit in an aggregation problem. By varying the parameter of the assumed loss function, one obtains a whole sequence of aggregation levels. Further, the resulting sequence is consistent; that is, groupings formed at one level of aggregation will never be undone when one aggregates further. Copyright 1992 by John Wiley & Sons, Ltd.

Suggested Citation

  • Cotterman, R & Peracchi, F, 1992. "Classification and Aggregation: An Application to Industrial Classification in CPS Data," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 7(1), pages 31-51, Jan.-Marc.
    • Handle: RePEc:jae:japmet:v:7:y:1992:i:1:p:31-51
    as

    Download full text from publisher

    File URL: http://links.jstor.org/sici?sici=0883-7252%28199201%2F199203%297%3A1%3C31%3ACAAAAT%3E2.0.CO%3B2-W&origin=bc
    File Function: full text
    Download Restriction: Access to full text is restricted to JSTOR subscribers. See http://www.jstor.org for details.
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Riccardo Di Francesco, 2022. "Aggregation Trees," CEIS Research Paper 546, Tor Vergata University, CEIS, revised 20 Nov 2023.
    2. Mora, Ricardo, 1999. "Wage inequality and structural change," UC3M Working papers. Economics 6117, Universidad Carlos III de Madrid. Departamento de Economía.
    3. Chipman, John Somerset & Winker, Peter, 1994. "Optimal industrial classification with heteroskedasticity correction: An application to the Swedish industrial classification system," Discussion Papers, Series II 237, University of Konstanz, Collaborative Research Centre (SFB) 178 "Internationalization of the Economy".
    4. Mora, Ricardo, 1999. "Third-generation mexican american workers in the south-west: a case of wage discrimination," UC3M Working papers. Economics 6109, Universidad Carlos III de Madrid. Departamento de Economía.
    5. Carlos Usabiaga & Pablo Álvarez de Toledo & Fernando Núñez, 2013. "Labour Market Segmentation, Clusters, Mobility And Unemployment Duration With Individual Microdata," EcoMod2013 5688, EcoMod.
    6. Zura Kakushadze & Willie Yu, 2017. "Open Source Fundamental Industry Classification," Data, MDPI, vol. 2(2), pages 1-77, June.
    7. Chipman, John Somerset & Winker, Peter, 1994. "Optimal industrial classification: [an application to the German industrial classification system]," Discussion Papers, Series II 236, University of Konstanz, Collaborative Research Centre (SFB) 178 "Internationalization of the Economy".
    8. John Mullahy & Stephanie A. Robert, 2008. "No Time to Lose? Time Constraints and Physical Activity," NBER Working Papers 14513, National Bureau of Economic Research, Inc.
    9. John S.nChipman & Peter Winker, "undated". "Optimal Industrial Classification in a Dynamic Model of Price Adjustment," Computing in Economics and Finance 1996 _013, Society for Computational Economics.
    10. Carlos Usabiaga & Fernando Núñez & Pablo Álvarez de Toledo, 2013. "Segmentación del mercado de trabajo, clusters, movilidad y duración de desempleo con datos individuales," Economic Working Papers at Centro de Estudios Andaluces E2013/02, Centro de Estudios Andaluces.
    11. Mullahy John, 2015. "Multivariate Fractional Regression Estimation of Econometric Share Models," Journal of Econometric Methods, De Gruyter, vol. 4(1), pages 1-30, January.
    12. Zura Kakushadze & Willie Yu, 2017. "Open Source Fundamental Industry Classification," Papers 1706.04210, arXiv.org, revised Dec 2017.
    13. Álvarez de Toledo, Pablo & Núñez, Fernando & Usabiaga, Carlos, 2014. "An empirical approach on labour segmentation. Applications with individual duration data," Economic Modelling, Elsevier, vol. 36(C), pages 252-267.
    14. John Mullahy, 2010. "Multivariate Fractional Regression Estimation of Econometric Share Models," NBER Working Papers 16354, National Bureau of Economic Research, Inc.
    15. Ricardo Mora, 2008. "A nonparametric decomposition of the Mexican American average wage gap," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 23(4), pages 463-485.
    16. Ross Stolzenberg & James Lindgren, 2010. "Retirement and death in office of U.S. Supreme Court justices," Demography, Springer;Population Association of America (PAA), vol. 47(2), pages 269-298, May.
    17. John Mullahy & Stephanie Robert, 2010. "No time to lose: time constraints and physical activity in the production of health," Review of Economics of the Household, Springer, vol. 8(4), pages 409-432, December.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:jae:japmet:v:7:y:1992:i:1:p:31-51. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley-Blackwell Digital Licensing or Christopher F. Baum (email available below). General contact details of provider: http://www.interscience.wiley.com/jpages/0883-7252/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.