Measuring income mobility using pseudo-panel data

Martinez Jr., Arturo, Western, Mark, Haynes, Michele and Tomaszewski, Wojtek (2013) Measuring income mobility using pseudo-panel data. Philippine Statistician, 62 2: 71-99.

Author Martinez Jr., Arturo
Western, Mark
Haynes, Michele
Tomaszewski, Wojtek
Title Measuring income mobility using pseudo-panel data
Journal name Philippine Statistician
ISSN 0031-7829
Publication date 2013
Sub-type Article (original research)
Open Access Status
Volume 62
Issue 2
Start page 71
End page 99
Total pages 29
Place of publication Manila, Philippines
Publisher Philippine Statistical Association
Language eng
Formatted abstract
To reconcile the need of providing a more dynamic perspective of the evolution of income distribution with the lack of panel data, several techniques have been offered to construct pseudo-panel data from repeated cross-sectional surveys. Using actual panel data from the Philippines, this study evaluates the performance of four pseudo-panel techniques in measuring a wide array of income mobility indicators. Preliminary results suggest that methods with more flexible income model specifications perform better than those with highly parameterized models. More importantly, these flexible pseudo-panel procedures produced estimates of poverty dynamics and movement-based indices which are quite close to the estimates computed from the actual panel data. Nevertheless, further improvements are warranted to be able to develop a more satisfactory estimation procedure for indices measuring temporal dependence and the inequality-reducing effect of income mobility.
Keyword Income mobility
Pseudo-panel data
Q-Index Code C1
Q-Index Status Provisional Code
Institutional Status UQ

Document type: Journal Article
Sub-type: Article (original research)
Collections: Institute for Social Science Research - Publications
School of Social Science Publications
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Created: Thu, 26 Mar 2015, 10:11:52 EST by Arturo Martinez on behalf of Institute for Social Science Research