Variance estimation for sensitivity analysis of poverty and inequality measures

Authors

  • Christian Dudel Ruhr-University Bochum, Max Planck Institute for Demographic Research

DOI:

https://doi.org/10.18148/srm/2017.v11i1.6297

Keywords:

equivalence scale, influence function, low income proportion, sensitivity analysis, variance estimation,

Abstract

Estimates of poverty and inequality are often based on application of a single equivalence scale, despite the fact that a large number of different equivalence scales can be found in the literature. This paper describes a framework for sensitivity analysis which can be used to account for the variability of equivalence scales and allows to derive variance estimates of results of sensitivity analysis. Simulations show that this method yields reliable estimates. An empirical application reveals that accounting for both variability of equivalence scales and sampling variance leads to confidence intervals which are wide.

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Published

2017-04-10

How to Cite

Dudel, C. (2017). Variance estimation for sensitivity analysis of poverty and inequality measures. Survey Research Methods, 11(1), 81–92. https://doi.org/10.18148/srm/2017.v11i1.6297

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