JSM 2005 - Toronto

Abstract #304077

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Legend: = Applied Session, = Theme Session, = Presenter
Activity Number: 528
Type: Contributed
Date/Time: Thursday, August 11, 2005 : 10:30 AM to 12:20 PM
Sponsor: Social Statistics Section
Abstract - #304077
Title: Estimating the Level of Underreporting of Expenditures among Expenditure Reporters: A Micro-level Latent Class Analysis
Author(s): Clyde Tucker*+ and Brian Meekins and Paul Biemer
Companies: Bureau of Labor Statistics and Bureau of Labor Statistics and RTI International
Address: 2 Massachusetts Ave NE, Washington, DC, 20212, United States
Keywords: Latent Class Analysis ; Measurement error
Abstract:

This paper uses latent class analysis (LCA) to estimate the amount of underreporting on the BLS Consumer Expenditure Quarterly Survey (CEQ). Specifically, it models underreporting in a given commodity category by those reporting a purchase of any item within that category. This work builds on work presented at ASA last year and is based on an analysis of micro-level, procedural indicators. Data from the CEQ for the years 1996 to 2003 are used in the analysis. A variety of LC models are used to evaluate observed expenditure reporting patterns in several commodity categories. Model covariates include characteristics of the interview, the respondent, and the household. Best-fitting models are determined from well-known statistical tests and subjective diagnostics developed by the authors. Issues related to correlated classification errors are discussed, and methods for combining and evaluating estimates of underreporting are developed.

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