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Activity Number: 253
Type: Contributed
Date/Time: Tuesday, August 8, 2006 : 8:30 AM to 10:20 AM
Sponsor: Section on Survey Research Methods
Abstract - #305730
Title: Using Income as an Auxiliary Variable To Improve the Design of Household Expenditure Surveys
Author(s): Charles Mitchell*+ and Christian Nadeau
Companies: Statistics Canada and Statistics Canada
Address: 890 Cahill Drive W., Unit 48, Ottawa, ON, K1V 9A4, Canada
Keywords: household surveys ; stratification ; allocation ; spending
Abstract:

When conducting household surveys, household spending habits often are linked to household income. However, for some expenditure variables, the relationship with household income is not linear. For example, the probability of reporting a nonzero value seems to increase with household income for spending on furniture and household renovations. This variety of relationships provides a challenge in constructing an efficient sampling design. The aim of this paper is to compare alternate sampling designs with the goal of reducing the variance of estimates that show different types of relationships with household income. We will consider different two-stage sampling designs using an area frame. The variance for different estimates will be compared for alternative allocation methods that use income as an auxiliary variable.


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