Enriching income data with expenditure information: a semi- parametric imputation technique

Decoster, A. and De Swerdt, K. (2008), Enriching income data with expenditure information: a semi- parametric imputation technique, Discussion Paper DPS 08.11, Center for Economic Studies, Leuven.
ABSTRACT

In this paper we describe a methodology for enriching an income dataset with information on expenditures using a semi-parametric imputation technique. Engel curves are first estimated semi-parametrically on household budget data. We then show how the technique can be used to impute expenditure information into a separate income dataset. As an example we show results from the imputation of expenditures in a separate income file using Belgian household budget data.