Publication type
Conference Paper
Series
Panel Data 2006: 13th International Conference on Panel Data: 7-9 July 2006 Faculty of Economics, University of Cambridge UK
Author
Publication date
June 1, 2006
Abstract:
We develop a simulated ML estimator for a system of ARMA linear
equations in a short panel, where the dependent variables are partially observed
through ordinal scales. This is used to model households’ perceptions of financial
well-being and test the hypothesis that their answers to two questions in the British
Household Panel Survey about current and past financial well-being are consistent
with each other and with the existence of a common underlying well-being concept.
We find that current perceptions exhibit slow adjustment to changing circumstances
and that comparisons of current and retrospective perceptions are contaminated by
temporal adjustment of perceptions.
Subject
Link
- http://www.econ.cam.ac.uk/panel2006/detailprog.html
Related Publications
-
Are the Responses to Survey Questions on Well-being Dynamically Consistent? Vector ARMA Modelling in a Short Panel with Ordinal Observation
Stephen Pudney,Conference Paper - 20060925
-
Are the Responses to Survey Questions on Well-being Dynamically Consistent? Vector ARMA Modelling in a Short Panel with Ordinal Observation
Stephen Pudney,Conference Paper - 20060709
#508765