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How Reliable are Household Expenditures as a Proxy for Permanent Income? Implications for the Income-Nutrition Relationship

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Abstract

Measurement error in short-run expenditures from household surveys may attenuate estimated effects of permanent income on economic outcomes. Repeated observations on households during the year are used to calculate reliability ratios and estimate errors in variables regressions of the impact of income on calorie intakes. In contrast to influential studies finding no effect of income, the results suggest significant nutritional responses to income in poor countries.

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  • John Gibson & Bonggeun Kim, 2011. "How Reliable are Household Expenditures as a Proxy for Permanent Income? Implications for the Income-Nutrition Relationship," Working Papers in Economics 11/03, University of Waikato.
    • Handle: RePEc:wai:econwp:11/03
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    File URL: https://repec.its.waikato.ac.nz/wai/econwp/1103.pdf
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    Cited by:

    1. Chairassamee, Nattanicha & Chancharoenchai, Kanokwan & Saraithong, Wuthiya & Temsumrit, Navarat, 2024. "Inequality in educational opportunity in Thailand during the COVID-19 pandemic," International Journal of Educational Development, Elsevier, vol. 109(C).
    2. Mach, Radomír & Weinzettel, Jan & Ščasný, Milan, 2018. "Environmental Impact of Consumption by Czech Households: Hybrid Input–Output Analysis Linked to Household Consumption Data," Ecological Economics, Elsevier, vol. 149(C), pages 62-73.
    3. Farr, Marina & Stoeckl, Natalie & Alam Beg, Rabiul, 2014. "The non-consumptive (tourism) ‘value’ of marine species in the Northern section of the Great Barrier Reef," Marine Policy, Elsevier, vol. 43(C), pages 89-103.
    4. Friedman, Jed & Beegle, Kathleen & De Weerdt, Joachim & Gibson, John, 2017. "Decomposing response error in food consumption measurement: Implications for survey design from a randomized survey experiment in Tanzania," Food Policy, Elsevier, vol. 72(C), pages 94-111.
    5. Florian Wendelspiess Ch�vez Ju�rez, 2015. "Measuring Inequality of Opportunity with Latent Variables," Journal of Human Development and Capabilities, Taylor & Francis Journals, vol. 16(1), pages 106-121, February.
    6. John Gibson, 2016. "Measuring Chronic Hunger from Diet Snapshots: Why 'Bottom up' Survey Counts and 'Top down' FAO Estimates Will Never Meet," Working Papers in Economics 16/07, University of Waikato.

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    JEL classification:

    • C2 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables
    • I3 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty
    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development

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