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Estimating the impacts of program benefits : using instrumental variables with underreported and imputed data

Author: Melvin Stephens, Jr.; Takashi Unayama; National Bureau of Economic Research,
Publisher: Cambridge, Mass. : National Bureau of Economic Research, 2015.
Series: Working paper series (National Bureau of Economic Research), no. 21248.
Edition/Format:   eBook : Document : EnglishView all editions and formats
Summary:
Survey non-response has risen in recent years which has increased the share of imputed and underreported values found on commonly used datasets. While this trend has been well-documented for earnings, the growth in non-response to government transfers questions has received far less attention. We demonstrate analytically that the underreporting and imputation of transfer benefits can lead to program impact estimates  Read more...
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Material Type: Document, Internet resource
Document Type: Internet Resource, Computer File
All Authors / Contributors: Melvin Stephens, Jr.; Takashi Unayama; National Bureau of Economic Research,
OCLC Number: 911058482
Notes: "June 2015"
Description: 1 online resource (28 pages, 5 unnumbered pages) : illustrations.
Series Title: Working paper series (National Bureau of Economic Research), no. 21248.
Responsibility: Melvin Stephens, Jr., Takashi Unayama.

Abstract:

Survey non-response has risen in recent years which has increased the share of imputed and underreported values found on commonly used datasets. While this trend has been well-documented for earnings, the growth in non-response to government transfers questions has received far less attention. We demonstrate analytically that the underreporting and imputation of transfer benefits can lead to program impact estimates that are substantially overstated when using instrumental variables methods to correct for endogeneity and/or measurement error in benefit amounts. We document the importance of failing to account for these issues using two empirical examples.

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