The impact of alternative imputation methods on the measurement of income and wealth: Evidence from the Spanish survey of household finances
The goal of this paper is to emphasise the importance of the way of handling missing data and its impact on the outcome of empirical studies. Using the 2002 wave of the Spanish Survey of Household Finances (EFF), I study the performance of alternative methods: listwise deletion, non-stochastic, multiple and single imputation based on linear-regression models, and hot-deck procedures. Using descriptive statistics of the marginal and conditional distributions of income and wealth and estimating mean and quantile regressions, listwise deletion brings imprecise and biased estimates, non-stochastic imputation underestimates variance and dispersion and hot deck fails to capture the potential relationships among survey variables.
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.:
- Albarran, P., 2000. "Income Uncertainty and Precautionary Saving: Evidence from Household Rotating Panel Data," Papers 0008, Centro de Estudios Monetarios Y Financieros-.
- Olympia Bover, 2005. "Wealth effects on consumption: microeconometric estimates from the Spanish survey of household finances," Banco de Espa�a Working Papers 0522, Banco de Espa�a.
- Martin Browning & Thomas F. Crossley & Guglielmo Weber, 2003.
"Asking consumption questions in general purpose surveys,"
Royal Economic Society, vol. 113(491), pages F540-F567, November.
- Martin Browning & Thomas F. Crossley & Guglielmo Weber, 2002. "Asking Consumption Questions in General Purpose Surveys," Social and Economic Dimensions of an Aging Population Research Papers 77, McMaster University.
- Martin Browning & Thomas F. Crossley & Gugliemo Weber, 2002. "Asking Consumption Questions in General Purpose Surveys," CAM Working Papers 2002-05, University of Copenhagen. Department of Economics. Centre for Applied Microeconometrics.
- Dynan, Karen E, 1993. "How Prudent Are Consumers?," Journal of Political Economy, University of Chicago Press, vol. 101(6), pages 1104-13, December.
- Martin Browning & Annamaria Lusardi, 1996.
"Household Saving: Micro Theories and Micro Facts,"
96-01, University of Copenhagen. Department of Economics.
- Giuseppe De Luca & Franco Peracchi, 2012.
"Estimating Engel curves under unit and item nonresponse,"
Journal of Applied Econometrics,
John Wiley & Sons, Ltd., vol. 27(7), pages 1076-1099, November.
- Giuseppe De Luca & Franco Peracchi, 2010. "Estimating Engel curves under unit and item nonresponse," EIEF Working Papers Series 1004, Einaudi Institute for Economics and Finance (EIEF), revised Nov 2010.
- Korinek, Anton & Mistiaen, Johan A. & Ravallion, Martin, 2005.
"Survey nonresponse and the distribution of income,"
Policy Research Working Paper Series
3543, The World Bank.
- Christopher D. Carroll, 1992.
"How does future income affect current consumption?,"
Working Paper Series / Economic Activity Section
126, Board of Governors of the Federal Reserve System (U.S.).
- Carroll, Christopher D, 1994. "How Does Future Income Affect Current Consumption?," The Quarterly Journal of Economics, MIT Press, vol. 109(1), pages 111-47, February.
- Karen E. Dynan, 1993. "How prudent are consumers?," Working Paper Series / Economic Activity Section 135, Board of Governors of the Federal Reserve System (U.S.).
- Cristina Barceló, 2006. "Imputation of the 2002 wave of the Spanish survey of household finances (EFF)," Banco de Espa�a Occasional Papers 0603, Banco de Espa�a.
- Paul Kofman & Ian G. Sharpe, 2003. "Using Multiple Imputation in the Analysis of Incomplete Observations in Finance," Journal of Financial Econometrics, Society for Financial Econometrics, vol. 1(2), pages 216-249.
- Korinek, Anton & Mistiaen, Johan A. & Ravallion, Martin, 2007.
"An econometric method of correcting for unit nonresponse bias in surveys,"
Journal of Econometrics,
Elsevier, vol. 136(1), pages 213-235, January.
- Korinek, Anton & Mistiaen, Johan A. & Ravallion, Martin, 2005. "An econometric method of correcting for unit nonresponse bias in surveys," Policy Research Working Paper Series 3711, The World Bank.
- Karen E. Dynan & Jonathan Skinner & Stephen P. Zeldes, 2000.
"Do the Rich Save More?,"
NBER Working Papers
7906, National Bureau of Economic Research, Inc.
- J. L. Hutton, 2000. "Number needed to treat: properties and problems," Journal of the Royal Statistical Society Series A, Royal Statistical Society, vol. 163(3), pages 381-402.
When requesting a correction, please mention this item's handle: RePEc:bde:wpaper:0829. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Mar�a Beiro. Electronic Dissemination of Information Unit. Research Department. Banco de Espa�a)
If references are entirely missing, you can add them using this form.