Arbeitspapier

How valid are synthetic panel estimates of poverty dynamics?

A growing literature uses repeated cross-section surveys to derive ‘synthetic panel’ data estimates of poverty dynamics statistics. It builds on the pioneering study by Dang, Lanjouw, Luoto, and McKenzie (Journal of Development Economics, 2014) providing bounds estimates and the innovative refinement proposed by Dang and Lanjouw (World Bank Policy Research Working Paper 6504, 2013) providing point estimates of the statistics of interest. We provide new evidence about the accuracy of synthetic panel estimates relative to benchmarks based on estimates derived from genuine household panel data, employing high quality data from Australia and Britain, while also examining the sensitivity of results to a number of analytical choices. Overall, we are more agnostic about the validity of the synthetic panel approach applied to these two rich countries than are earlier validity studies in their applications focusing on middle- and low-income countries.

Language
Englisch

Bibliographic citation
Series: GLO Discussion Paper ; No. 207

Classification
Wirtschaft
Measurement and Analysis of Poverty
Personal Income, Wealth, and Their Distributions
Model Evaluation, Validation, and Selection
Subject
synthetic panel
pseudo panel
poverty dynamics
poverty entry
poverty exit
BHPS
HILDA

Event
Geistige Schöpfung
(who)
Hérault, Nicolas
Jenkins, Stephen P.
Event
Veröffentlichung
(who)
Global Labor Organization (GLO)
(where)
Maastricht
(when)
2018

Handle
Last update
12.07.2024, 1:20 PM CEST

Object type

  • Arbeitspapier

Associated

  • Hérault, Nicolas
  • Jenkins, Stephen P.
  • Global Labor Organization (GLO)

Time of origin

  • 2018

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