NATIONAL BUREAU OF ECONOMIC RESEARCH
NATIONAL BUREAU OF ECONOMIC RESEARCH

Nikolas Mittag

CERGE-EI
Politických vězňů 7
111 21 Praha 1
Czech Republic

E-Mail: nikolas.mittag@cerge-ei.cz

NBER Working Papers and Publications

October 2015Using Linked Survey and Administrative Data to Better Measure Income: Implications for Poverty, Program Effectiveness and Holes in the Safety Net
with Bruce D. Meyer: w21676
We examine the consequences of underreporting of transfer programs for prototypical analyses of low-income populations using the Current Population Survey (CPS), the source of official poverty and inequality statistics. We link administrative data for food stamps, TANF, General Assistance, and subsidized housing from New York State to the CPS at the individual level. Program receipt in the CPS is missed for over one-third of housing assistance recipients, 40 percent of food stamp recipients and 60 percent of TANF and General Assistance recipients. Dollars of benefits are also undercounted for reporting recipients, particularly for TANF, General Assistance and housing assistance. We find that the survey data sharply understate the income of poor households. Underreporting in the survey ...
September 2014Misclassification in Binary Choice Models
with Bruce Meyer: w20509
While measurement error in the dependent variable does not lead to bias in some well-known cases, with a binary dependent variable the bias can be pronounced. In binary choice, Hausman, Abrevaya and Scott-Morton (1998) show that the marginal effects in the observed data differ from the true ones in proportion to the sum of the misclassification probabilities when the errors are unrelated to covariates. We provide two sets of results that extend this analysis. First, we derive the asymptotic bias in parametric models allowing for correlation of the errors with both observables and unobservables. Second, we examine the bias in a prototypical application in two different datasets, using a variety of methods that differ in the amount of knowledge that is assumed about the error process. Our ap...
 
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