Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/24693 
Authors: 
Year of Publication: 
2005
Series/Report no.: 
ZEW Discussion Papers No. 04-53 [rev.]
Publisher: 
Zentrum für Europäische Wirtschaftsforschung (ZEW), Mannheim
Abstract: 
Consumption based equivalence scales are estimated by applying the extended partially linear model (EPLM) to the 1998 Income and Consumption Survey (EVS) carried out in Germany. In this model the equivalence scales are identified by virtue of nonlinearities in household demand. Therefore, the econometric framework should not impose any strong restrictions on the functional forms of household expenditure shares. The chosen semiparametric specification meets this requirement. It is flexible, it yields N-consistent parameter estimates, and is consistent with consumer theory. Estimated equivalence scales are below or in the range of the expert equivalence scales of the German social benefits system.
Subjects: 
semiparametric estimation
wild bootstrapping
equivalence scales
social benefits
JEL: 
H53
D12
C31
C14
older Version: 
Document Type: 
Working Paper

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