TY - JOUR AU - Chen,Xi AU - Nordhaus,William D. TI - The Value of Luminosity Data as a Proxy for Economic Statistics JF - National Bureau of Economic Research Working Paper Series VL - No. 16317 PY - 2010 Y2 - August 2010 UR - http://www.nber.org/papers/w16317 L1 - http://www.nber.org/papers/w16317.pdf N1 - Author contact info: Xi Chen 28 Hillhouse Ave New Haven CT 06511 E-Mail: xc49@cornell.edu William D. Nordhaus Yale University, Department of Economics 28 Hillhouse Avenue Box 208264 New Haven, CT 06520-8264 Tel: 203/432-3598 Fax: 203/432-5779 E-Mail: william.nordhaus@yale.edu AB - One of the pervasive issues in social and environmental research has been to improve the quality of socioeconomic data in developing countries. Because of the shortcoming of standard data sources, the present study examines luminosity (measures of nighttime lights) as a proxy for standard measures of output. The paper compares output and luminosity at the country levels and at the 1° x 1° grid-cell levels for the period 1992-2008. The results are that luminosity has very little value added for countries with high-quality statistical systems. However, it may be useful for countries with the lowest statistical grades, particularly for war-torn countries with no recent population or economic censuses. The results also indicate that luminosity has more value added for economic density estimates than for time-series growth rates. ER -