Approximations to the Truth: Comparing Survey and Microsimulation Approaches to Measuring Income for Social Indicators
AbstractThis paper evaluates income distributions in four European countries (Austria, Italy, Spain and Hungary) using two complementary approaches: a standard approach based on reported incomes in survey data, and a microsimulation approach, where taxes and benefits are simulated. Given that benefit receipts tend to be under-reported in survey data, and over-estimated in microsimulation procedures, we may expect the two approaches to generate slightly different results. In fact, we find reasonably consistent results. To the extent that the results differ, we explore why these differences occur, and suggest directions for future research, where each approach may inform improvements in the other.
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Bibliographic InfoArticle provided by Springer in its journal Social Indicators Research.
Volume (Year): 105 (2012)
Issue (Month): 3 (February)
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Web page: http://www.springer.com/economics/journal/11135
Other versions of this item:
- Figari, Francesco & Iacovou, Maria & Skew, Alexandra J. & Sutherland, Holly, 2010. "Approximations to the truth: comparing survey and microsimulation approaches to measuring income for social indicators," EUROMOD Working Papers EM3/10, EUROMOD at the Institute for Social and Economic Research.
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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- repec:ese:iserwp:2004-28 is not listed on IDEAS
- Figari, Francesco & Levy, Horacio & Sutherland, Holly, 2007. "Using the EU-SILC for policy simulation: prospects, some limitations and some suggestions," EUROMOD Working Papers EM1/07, EUROMOD at the Institute for Social and Economic Research.
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