We consider the implications of a specific alternative to the classical measurement error model, in which the data are optimal predictions based on some information set. One motivation for this model is that if respondents are aware of their ignorance they may interpret the question what is the...

Conventional estimates of the impact of taxes on investment may be seriously biased by measurement error in the cost of capital. The existence and size of such error, however, has not been documented. Using panel data on different types of capital equipment, this paper provides direct evidence...

In this paper, we propose an approach for evaluating the trade-offs inherent in different approaches used to match Current Population Survey (CPS) respondents across various CPS surveys. Because there is some measurement error in both the variables used to identify individuals over time and in...

We propose a general method of moments technique to identify measurement error in self-reported and transcript-reported schooling using differences in wages, test scores, and other covariates to discern the relative verity of each measure. We also explore the implications of such reporting...

We assess the extent and cost of misallocation in agriculture in less-developed countries comparing the analysis at the plot and farm levels. Using detailed data from Uganda, we show that the plot-level analysis leads to extremely large estimates of reallocation gains, even after adjusting for...

This paper shows how to remove attenuation bias in regression analyses due to measurement error in historical data for a given variable of interest by using a secondary measure which can be easily generated from digitized newspapers. We provide three methods for using this secondary variable to...

There is growing concern that the increasing use of machine learning and artificial intelligence-based systems may exacerbate health disparities through discrimination. We provide a hierarchical definition of discrimination consisting of algorithmic discrimination arising from predictive scores...

A large body of evidence finds that relative mobility in the US has declined over the past 150 years. However, long-run mobility estimates are usually based on white samples and therefore do not account for the limited opportunities available for non-white families. Moreover, historical data...

Measurement errors are often a large source of bias in survey data. Lack of knowledge of the determinants of such errors makes it difficult for data producers to reduce the extent of errors and for data users to assess the validity of analyses using the data. We study the determinants of...

Smoking and obesity are the two leading causes of preventable deaths in the United States. Because smoking is subject to heavy government intervention, understanding the effect of smoking on obesity is important in determining the extent of unintended costs or benefits of such intervention. The...