Home > Publications . Search All . Browse All . Country . Browse PSC Pubs . PSC Report Series

PSC In The News

RSS Feed icon

Owen-Smith says universities must demonstrate value of higher education

Armstrong says USC's removal of questions from a required Title IX training module may reflect student-administration relations

Fomby finds living with step- or half-siblings linked to higher aggression among 5 year olds

Highlights

PRB training program in policy communication for pre-docs. Application deadline, 2.28.2016

Call for proposals: PSID small grants for research on life course impacts on later life wellbeing

PSC News, fall 2015 now available

Barbara Anderson appointed chair of Census Scientific Advisory Committee

Next Brown Bag

Monday, Feb 1 at noon, 6050 ISR-Thompson
Sarah Miller

Studying Consumption with the Panel Study of Income Dynamics: Comparisons with the Consumer Expenditure Survey and an Application to the Intergenerational Transmission of Well-being

Publication Abstract

Download PDF versionCharles, Kerwin, Sheldon H. Danziger, Geng Li, and Robert F. Schoeni. 2006. "Studying Consumption with the Panel Study of Income Dynamics: Comparisons with the Consumer Expenditure Survey and an Application to the Intergenerational Transmission of Well-being." PSC Research Report No. 06-590. February 2006.

Beginning in 1999, the Panel Study of Income Dynamics (PSID) added new questions about several categories of consumption expenditure. The PSID now covers items that constitute more than 70 percent of total expenditure measured in the Consumer Expenditure Survey (CE). We show that expenditure for each of the broad categories in the PSID aligns closely with corresponding measures from the CE. Using the new PSID data, we impute total expenditure in the PSID and show that this is also very close to total measured CE expenditure. For several distinct categories and for total consumption, we show that cross-sectional life cycle estimates of household expenditure activity are very similar across the two surveys. Finally, we illustrate the unique research value of the PSID for studying consumption by exploiting the survey’s longitudinal design and genealogical structure to estimate the intergenerational elasticity of consumption expenditure, which is found to be 0.32-0.34.

Country of focus: United States of America.

Browse | Search : All Pubs | Next