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Errors in Variables: A Problem in Regression and its Solution

Author

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  • K J Thomson

    (Department of Agricultural Economics, University of Newcastle upon Tyne, Newcastle upon Tyne NE1 7RU, England)

  • K G Willis

    (Department of Town and Country Planning, University of Newcastle upon Tyne, Newcastle upon Tyne NE1 7RU, England)

Abstract

It is not uncommon in socioeconomic analysis to measure variables with error, as in a 10% census. The estimation of linear regression coefficients using such ‘errors-in-variables’ models requires modification of the usual ordinary least squares techniques. The underlying theory both for simple and for multiple regression models is explained, and followed up with a numerical example based on a structure plan model of car ownership.

Suggested Citation

  • K J Thomson & K G Willis, 1986. "Errors in Variables: A Problem in Regression and its Solution," Environment and Planning A, , vol. 18(5), pages 687-693, May.
    • Handle: RePEc:sae:envira:v:18:y:1986:i:5:p:687-693
    DOI: 10.1068/a180687
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    Cited by:

    1. Sébastien Breau & David L. Rigby, 2010. "International trade and wage inequality in Canada," Journal of Economic Geography, Oxford University Press, vol. 10(1), pages 55-86, January.

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