Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/51567
Year of Publication: 
2010
Series/Report no.: 
IZA Discussion Papers No. 5347
Publisher: 
Institute for the Study of Labor (IZA), Bonn
Abstract: 
Earnings nonresponse in the Current Population Survey is roughly 30% in the monthly surveys and 20% in the annual March survey. Even if nonresponse is random, severe bias attaches to wage equation coefficient estimates on attributes not matched in the earnings imputation hot deck. If nonresponse is ignorable, unbiased estimates can be achieved by omitting imputed earners, yet little is known about whether or not CPS nonresponse is ignorable. Using sample frame measures to identify selection, we find clear-cut evidence among men but limited evidence among women for negative selection into response. Wage equation slope coefficients are affected little by selection but because of intercept shifts, wages for men and to a lesser extent women are understated, as are gender wage gaps. Selection is less severe among household heads/co-heads than among other household members.
Subjects: 
response bias
imputation
earnings nonresponse
gender gap
CPS
JEL: 
J31
C81
Document Type: 
Working Paper

Files in This Item:
File
Size
200.51 kB





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