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Imputed welfare estimates in regression analysis

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  • Elbers, Chris
  • Lanjouw, Jean O.
  • Lanjouw, Peter

Abstract

The authors discuss the use of imputed data in regression analysis, in particular the use of highly disaggregated welfare indicators (from so-called"poverty maps"). They show that such indicators can be used both as explanatory variables on the right-hand side and as the phenomenon to explain on the left-hand side. The authors try out practical ways of adjusting standard errors of the regression coefficients to reflect the error introduced by using imputed, rather than actual, welfare indicators. These are illustrated by regression experiments based on data from Ecuador. For regressions with imputed variables on the left-hand side, the authors argue that essentially the same aggregate relationships would be found with either actual or imputed variables. They address the methodological question of how to interpret aggregate relationships found in such regressions.

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Bibliographic Info

Paper provided by The World Bank in its series Policy Research Working Paper Series with number 3294.

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Date of creation: 01 May 2004
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Handle: RePEc:wbk:wbrwps:3294

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Keywords: Public Health Promotion; Economic Theory&Research; Information Technology; Scientific Research&Science Parks; Statistical&Mathematical Sciences; Economic Theory&Research; Econometrics; VN-Acb Mis -- IFC-00535908; Geographical Information Systems; Statistical&Mathematical Sciences;

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References

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  1. Chris Elbers & Jean O. Lanjouw & Peter Lanjouw, 2003. "Micro--Level Estimation of Poverty and Inequality," Econometrica, Econometric Society, vol. 71(1), pages 355-364, January.
  2. Murphy, Kevin M & Topel, Robert H, 1985. "Estimation and Inference in Two-Step Econometric Models," Journal of Business & Economic Statistics, American Statistical Association, vol. 3(4), pages 370-79, October.
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Cited by:
  1. Beatrice Lorge Rogers & James Wirth & Kathy Macías & Parke Wilde, 2007. "Mapping Hunger in Ecuador: A Report on Mapping Malnutrition Prevalence," Working Papers in Food Policy and Nutrition 9602, Friedman School of Nutrition Science and Policy.
  2. Beatrice Lorge Rogers & James Wirth & Kathy Macías & Parke Wilde, 2007. "Mapping Hunder in Panama: A Report on Mapping Malnutrition Prevalence," Working Papers in Food Policy and Nutrition 35, Friedman School of Nutrition Science and Policy.
  3. Benson, Todd & Chamberlin, Jordan & Rhinehart, Ingrid, 2005. "Why the poor in rural Malawi are where they are: An Analysis of the Spatial Determinants of the Local Prevalence of Poverty," FCND discussion papers 198, International Food Policy Research Institute (IFPRI).
  4. Sarah Baird & Craig McIntosh & Berk Özler, 2011. "The Regressive Demands of Demand-Driven Development," Working Papers 2011-21, The George Washington University, Institute for International Economic Policy.
  5. Edward Miguel & Gerard Roland, 2006. "The Long Run Impact of Bombing Vietnam," NBER Working Papers 11954, National Bureau of Economic Research, Inc.
  6. Otter, Thomas, 2007. "Does Inequality Harm Income Mobility and Growth? An Assessment of the Growth Impact of Income and Education Inequality in Paraguay 1992: 2002," Proceedings of the German Development Economics Conference, Göttingen 2007 25, Verein für Socialpolitik, Research Committee Development Economics.
  7. Araujo, M. Caridad & Ferreira, Francisco H.G. & Lanjouw, Peter & Özler, Berk, 2008. "Local inequality and project choice: Theory and evidence from Ecuador," Journal of Public Economics, Elsevier, vol. 92(5-6), pages 1022-1046, June.
  8. Farrow, Andrew & Larrea, Carlos & Hyman, Glenn & Lema, German, 2005. "Exploring the spatial variation of food poverty in Ecuador," Food Policy, Elsevier, vol. 30(5-6), pages 510-531.
  9. Beatrice Lorge Rogers & Kathy Macías & Parke Wilde, . "Atlas of Hunger and Malnutrition in the Dominican Republic," Working Papers in Food Policy and Nutrition 9602, Friedman School of Nutrition Science and Policy, revised 01 Apr 2007.
  10. Kam, Suan-Pheng & Hossain, Mahabub & Bose, Manik Lal & Villano, Lorena S., 2005. "Spatial patterns of rural poverty and their relationship with welfare-influencing factors in Bangladesh," Food Policy, Elsevier, vol. 30(5-6), pages 551-567.
  11. Thomas Otter, 2009. "Does Inequality Harm Income Mobility and Growth? An Assessment of the Growth Impact of Income and Education Inequality in Paraguay 1992-2002," Ibero America Institute for Econ. Research (IAI) Discussion Papers 188, Ibero-America Institute for Economic Research.
  12. Schipper, Youdi & Hoogeveen, Johannes G., 2005. "Which inequality matters? Growth evidence based on small area welfare estimates in Uganda," Policy Research Working Paper Series 3592, The World Bank.
  13. Benson, Todd & Chamberlin, Jordan & Rhinehart, Ingrid, 2005. "An investigation of the spatial determinants of the local prevalence of poverty in rural Malawi," Food Policy, Elsevier, vol. 30(5-6), pages 532-550.
  14. Beatrice Lorge Rogers & James Wirth & Kathy Macías & Parke Wilde, 2007. "Mapping Hunder: A Report on Mapping Malnutrition Prevalence in the Dominican Republic, Ecuador, and Panama," Working Papers in Food Policy and Nutrition 34, Friedman School of Nutrition Science and Policy.

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