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Title
What household gets what income?
Language
English
URL
http://iserwww.essex.ac.uk/activities/conferences/epunet-2003/docs/pdf/papers/heuberger.pdf
Abstract
Due to the complexity of the ECHP data record, the answer to the question 'which household gets what income' is not as easy to answer as it appears at first sight. Classification variables such as demographic and socio-economic characteristics of household members were asked for the current year, i.e. the year of the survey, whereas most of the information on incomes was asked for the previous year. As a result, there is a problem with linking household income and household composition for those households which display a change in composition of their members from one year to the next. There are at least two different ways to cope with this problem. One approach is conducted by Eurostat (Eurostat-approach) and the other way has been developed at the ICCR, which is responsible for the ECHP in Austria. The Eurostat approach takes the last year’s income and applies it to the household that has been interviewed: the last year’s income is thus used as a proxy information for the current year. For example, the income variables of wave 6 (2000) are used to construct income information for 1999. Another approach - the ICCR-Approach - is carried out for the so-called 'keyvar-records', which are easy-to-use data records which comprise variables with only the same year of reference. These records include only persons who were interviewed over two consecutive years at least . Hence it is possible to construct income variables and classification variables with the same year of reference. But this may lead to stylised households when a person leaves a household. Each of the two ways of constructing household incomes has its advantages and disadvantages, but both assume in one way or another that the composition of the household does not change. In this presentation the two approaches will be compared, and the consequences for analysing household incomes and poverty will be discussed.
Reference
Heuberger, Richard (2003 July) 'What household gets what income?', EPUNet-2003 Conference: the conference of the European Panel Users Network: 3-5 July 2003, Colchester
Authors
Richard Heuberger
Countries included
Austria
ECHP Waves
1995, 1996, 1997, 1998, 1999
Institutions Involved
ICCR - The Interdisciplinary Centre for Comparative Research in the Social Sciences, Vienna, Austria
Contact Details