The European Community Household Panel (ECHP) is a panel survey covering a wide range of topics regarding economic, social and living conditions. In particular, it makes it possible to calculate disposable equivalized household income, which is a key variable in the study of economic inequity and poverty. To obtain reliable estimates of the average of this variable for regions within countries it is necessary to have recourse to small area estimation methods. In this paper, we focus on empirical best linear predictors of the average equivalized income based on “unit level models” borrowing strength across both areas and times. Using a simulation study based on ECHP data, we compare the suggested estimators with crosssectional modelbased and designbased estimators. In the case of these empirical predictors, we also compare three different MSE estimators. Results show that those estimators connected to models that take units’ autocorrelation into account lead to a significant gain in efficiency, even when there are no covariates available whose population mean is known.
E. Fabrizi, M. R. Ferrante, S. Pacei (2007). Small Area Estimation of Average Household Income based on Unit Level Models for Panel Data “Survey Methodology”, 33, 2, pp.187-198, 2007. SURVEY METHODOLOGY, 33, 2, 187-198.
Small Area Estimation of Average Household Income based on Unit Level Models for Panel Data “Survey Methodology”, 33, 2, pp.187-198, 2007.
FERRANTE, MARIA;PACEI, SILVIA
2007
Abstract
The European Community Household Panel (ECHP) is a panel survey covering a wide range of topics regarding economic, social and living conditions. In particular, it makes it possible to calculate disposable equivalized household income, which is a key variable in the study of economic inequity and poverty. To obtain reliable estimates of the average of this variable for regions within countries it is necessary to have recourse to small area estimation methods. In this paper, we focus on empirical best linear predictors of the average equivalized income based on “unit level models” borrowing strength across both areas and times. Using a simulation study based on ECHP data, we compare the suggested estimators with crosssectional modelbased and designbased estimators. In the case of these empirical predictors, we also compare three different MSE estimators. Results show that those estimators connected to models that take units’ autocorrelation into account lead to a significant gain in efficiency, even when there are no covariates available whose population mean is known.I documenti in IRIS sono protetti da copyright e tutti i diritti sono riservati, salvo diversa indicazione.
