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Are Equivalence Scales the Same for the United States and Canada?

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  • Garner, T.I.
  • Phipps, S.

Abstract

This research uses microdata from the 1986 Statistics Canada Family Expenditure Survey and from the 1986-88 U.S. Consumer Expenditure Survey to estimate equivalence scales using a methodology that is very similar to that employed by Statistics Canada for the estimation of low-income cutoffs. Employing identical sample selection criteria and identically specified models, the authors find that equivalence scales for the two countries are not, in general, statistically different when estimated in the same way. The larger issue is then whether the two countries should choose the same methodology for the estimation of equivalence scales. Copyright 1994 by The International Association for Research in Income and Wealth.

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Bibliographic Info

Paper provided by Dalhousie, Department of Economics in its series Department of Economics at Dalhousie University working papers archive with number 93-02.

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Length: 23 pages
Date of creation: 1993
Date of revision:
Handle: RePEc:dal:wparch:93-02

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Keywords: labour market ; statistics ; economic models;

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Cited by:
  1. Osberg, L. & Xu, K., 1998. "Poverty Intensity- How Well Does Canada Compare? ," Department of Economics at Dalhousie University working papers archive 98-05, Dalhousie, Department of Economics.
  2. Lars Osberg & Andrew Sharpe, 2003. "Human Well-being and Economic Well-being: What Values Are Implicit in Current Indices?," CSLS Research Reports 2003-04, Centre for the Study of Living Standards.
  3. Lars Osberg & Kuan Xu, 1999. "Poverty Intensity: How Well Do Canadian Provinces Compare?," Canadian Public Policy, University of Toronto Press, vol. 25(2), pages 179-195, June.
  4. Jesus Fernández-Villaverde & Dirk Krueger, 2007. "Consumption over the Life Cycle: Facts from Consumer Expenditure Survey Data," The Review of Economics and Statistics, MIT Press, vol. 89(3), pages 552-565, August.
  5. Andrew Sharpe & Christopher Ross, 2011. "Living Standards Domain of the Canadian Index of Wellbeing," CSLS Research Reports 2011-17, Centre for the Study of Living Standards.
  6. Alfons Weichenrieder & Tasneem Zafar, 2011. "Evaluating Real World Income Distributions behind the Veil of Ignorance - How Risk Averse do you have to be to Prefer Europe over the US?," CESifo Working Paper Series 3632, CESifo Group Munich.
  7. Okamoto, Masato, 2012. "The Relationship between the Equivalence Scale and the Inequality Index and Its Impact on the Measurement of Income Inequality," MPRA Paper 37410, University Library of Munich, Germany.
  8. Jin-Long Liu & Ching-Chun Hsu, 2004. "Economies of scale, gender discrimination, and cost of children," Applied Economics Letters, Taylor & Francis Journals, vol. 11(6), pages 377-382.
  9. Gould, Brian W. & Sabates, Ricardo, 2001. "The Structure Of Food Demand In Urban China: A Demand System Approach," 2001 Annual meeting, August 5-8, Chicago, IL 20778, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  10. Jesús Fernández-Villaverde & Dirk Krueger, 2003. "Consumption over the Life Cycle: Some Facts from Consumer Expenditure Survey Data," Levine's Working Paper Archive 506439000000000304, David K. Levine.
  11. Lars Osberg, 1996. "Economic Growth, Income Distribution and Economic Welfare in Canada 1975-1994," Department of Economics at Dalhousie University working papers archive econgrow, Dalhousie, Department of Economics.
  12. Gould, Brian W. & Yen, Steven T., 2002. "Food Demand In Mexico: A Quasi-Maximum Likelihood Approach," 2002 Annual meeting, July 28-31, Long Beach, CA 19667, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  13. Lars Osberg, 2003. "Long Run Trends in Income Inequality in the United States, UK, Sweden, Germany and Canada: A Birth Cohort View," Eastern Economic Journal, Eastern Economic Association, vol. 29(1), pages 121-141, Winter.
  14. Osberg, L. & Sharpe, A., 1998. "An Index of Economic Well-being for Canada," Department of Economics at Dalhousie University working papers archive 98-08, Dalhousie, Department of Economics.
  15. Michelini, Claudio, 1999. "The estimation of a rank 3 demand system with demographic demand shifters from quasi-unit record data of household consumption," Economics Letters, Elsevier, vol. 65(1), pages 17-24, October.
  16. Gould, Brian W. & Lee, Yoonjung & Dong, Diansheng & Villarreal, Hector J., 2002. "Household Size And Composition Impacts On Meat Demand In Mexico: A Censored Demand System Approach," 2002 Annual meeting, July 28-31, Long Beach, CA 19722, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).

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