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Measurement Error in Access to Markets

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  • Javier Escobal
  • Sonia Laszlo

Abstract

Microeconometric studies increasingly utilize travel times to markets as a determinant of economic behaviour. These studies typically use self-reported measures from surveys, often characterized by measurement error. This paper is the first validation study of access to markets data. Unique data from Peru allow comparison of self-reported variables with scientifically calculated variables. We investigate the determinants of the deviation between imputed and self-reported data and show that it is non-classical and dependent on observable socio-economic variables. Our results suggest that studies using self-reported measures of access may be estimating biased effects. Copyright (c) Blackwell Publishing Ltd and the Department of Economics, University of Oxford, 2008.

Suggested Citation

  • Javier Escobal & Sonia Laszlo, 2008. "Measurement Error in Access to Markets," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 70(2), pages 209-243, April.
  • Handle: RePEc:bla:obuest:v:70:y:2008:i:2:p:209-243
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    Cited by:

    1. Nalewaik, Jeremy J., 2014. "Missing Variation in the Great Moderation: Lack of Signal Error and OLS Regression," Finance and Economics Discussion Series 2014-27, Board of Governors of the Federal Reserve System (U.S.).
    2. Gibson, John & McKenzie, David, 2007. "Using the global positioning system in household surveys for better economics and better policy," Policy Research Working Paper Series 4195, The World Bank.
    3. Carletto, Calogero & Savastano, Sara & Zezza, Alberto, 2013. "Fact or artifact: The impact of measurement errors on the farm size–productivity relationship," Journal of Development Economics, Elsevier, vol. 103(C), pages 254-261.
    4. John Gibson & David McKenzie, 2007. "Using the Global Positioning System (GPS) in Household Surveys For Better Economics and Better Policy," Working Papers in Economics 07/04, University of Waikato.
    5. Laszlo, Sonia, 2008. "Education, Labor Supply, and Market Development in Rural Peru," World Development, Elsevier, vol. 36(11), pages 2421-2439, November.
    6. Dasgupta, Aparajita, 2014. "Systematic Measurement Error in Self-Reported Health: Is anchoring vignettes the way out?," MPRA Paper 58722, University Library of Munich, Germany.
    7. John Gibson & Xiangzheng Deng & Geua Boe-Gibson & Scott Rozelle & Jikun Huang, 2008. "Which Households Are Most Distant from Health Centers in Rural China? Evidence from a GIS Network Analysis," Working Papers in Economics 08/19, University of Waikato.
    8. Carletto, Calogero & Gourlay, Sydney & Winters, Paul, 2013. "From guesstimates to GPStimates : land area measurement and implications for agricultural analysis," Policy Research Working Paper Series 6550, The World Bank.

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    JEL classification:

    • O - Economic Development, Innovation, Technological Change, and Growth
    • P - Economic Systems

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