An alternative method to estimate income variance in cross-sectional data

摘要

A popular approach to estimating income variance in cross-sectional data is to use an aggregate method by categorizing sample observations into arbitrarily formed groups, taking into account some socio-economic attributes. This study proposes an alternative technique that can be used to estimate income variance from cross-sectional data. Results indicate that this multiplicative heteroskedastic feasible least squares estimation procedure is consistent and efficient, consumes less time and requires less manipulation of data.View full textDownload full textKeywordsincome variance, cross-sectional data, aggregate approach, multiplicative heteroskedasticity, feasible generalized least squaresJEL ClassificationD13, D91, Q12Related var addthis_config = { ui_cobrand: "Taylor & Francis Online", services_compact: "citeulike,netvibes,twitter,technorati,delicious,linkedin,facebook,stumbleupon,digg,google,more", pubid: "ra-4dff56cd6bb1830b" }; Add to shortlist Link Permalink http://dx.doi.org/10.1080/13504851.2011.631887