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The impact of alternative imputation methods on the measurement of income and wealth: Evidence from the Spanish survey of household finances

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  • Cristina Barceló

    (Banco de España)

Abstract

The goal of this paper is to emphasise the importance of the way of handling missing data and its impact on the outcome of empirical studies. Using the 2002 wave of the Spanish Survey of Household Finances (EFF), I study the performance of alternative methods: listwise deletion, non-stochastic, multiple and single imputation based on linear-regression models, and hot-deck procedures. Using descriptive statistics of the marginal and conditional distributions of income and wealth and estimating mean and quantile regressions, listwise deletion brings imprecise and biased estimates, non-stochastic imputation underestimates variance and dispersion and hot deck fails to capture the potential relationships among survey variables.

Suggested Citation

  • Cristina Barceló, 2008. "The impact of alternative imputation methods on the measurement of income and wealth: Evidence from the Spanish survey of household finances," Working Papers 0829, Banco de España.
    • Handle: RePEc:bde:wpaper:0829
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    References listed on IDEAS

    as
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    Cited by:

    1. Frick, Joachim R. & Grabka, Markus M. & Groh-Samberg, Olaf, 2012. "Dealing With Incomplete Household Panel Data in Inequality Research," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 41(1), pages 89-123.
    2. F鬩x Dom󹱵ez-Barrero & Julio López-Laborda, 2012. "Taxation and the portfolio structure of Spanish households," Applied Economics, Taylor & Francis Journals, vol. 44(23), pages 3011-3027, August.
    3. Tiefensee, Anita & Grabka, Markus M., 2016. "Comparing Wealth - Data Quality of the HFCS," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 10(2), pages 119-142.
    4. Torres Munguía, Juan Armando, 2014. "Comparison of Imputation Methods for Handling Missing Categorical Data with Univariate Pattern|| Una comparación de métodos de imputación de variables categóricas con patrón univariado," Revista de Métodos Cuantitativos para la Economía y la Empresa = Journal of Quantitative Methods for Economics and Business Administration, Universidad Pablo de Olavide, Department of Quantitative Methods for Economics and Business Administration, vol. 17(1), pages 101-120, June.

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    More about this item

    Keywords

    Household wealth surveys; imputation methods;

    JEL classification:

    • D10 - Microeconomics - - Household Behavior - - - General
    • C81 - Mathematical and Quantitative Methods - - Data Collection and Data Estimation Methodology; Computer Programs - - - Methodology for Collecting, Estimating, and Organizing Microeconomic Data; Data Access

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