EconStor >
University of Essex >
Institute for Social and Economic Research (ISER), University of Essex >
ISER Working Paper Series, Institute for Social and Economic Research (ISER), University of Essex >

Please use this identifier to cite or link to this item:

http://hdl.handle.net/10419/65923
  
Title:Perception and retrospection: The dynamic consistency of responses to survey questions on wellbeing PDF Logo
Authors:Pudney, Stephen
Issue Date:2010
Series/Report no.:ISER Working Paper Series 2010-07
Abstract:Implementation of broad approaches to welfare analysis usually entails the use of 'subjective' welfare indicators. We analyse BHPS data on financial wellbeing to determine whether reported current and retrospective perceptions are consistent with each other and with the existence of a common underlying wellbeing concept. We allow for adjustment of perceptions in a vector ARMA model for panel data, with dependent variables observed ordinally and find that current perceptions exhibit slow adjustment to changing circumstances and retrospective assessments of past wellbeing are heavily contaminated by current circumstances, causing significant bias in measures of the level and change in welfare.
Subjects:financial wellbeing
perceptions
dynamic adjustment
BHPS
JEL:C23
C25
C33
C35
D84
Document Type:Working Paper
Appears in Collections:ISER Working Paper Series, Institute for Social and Economic Research (ISER), University of Essex

Files in This Item:
File Description SizeFormat
632256451.pdf331.13 kBAdobe PDF
No. of Downloads: Counter Stats
Download bibliographical data as: BibTeX
Share on:http://hdl.handle.net/10419/65923

Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.