measurement, and it has become standard practice to construct income measures to mitigate these. However, remaining bias can lead … literature. We show with theory and simulations that even using a 30-year income average can result in a small positive spurious … grandfather coefficient estimate. We further propose an IV approach, showing that it is not susceptible to this spillover bias in …

-cycle bias if the snapshots cannot mimic lifetime outcomes. Using uniquely long series of Swedish income data, we show that … current empirical strategies do not eliminate such bias. We focus on the widely adopted generalized errors-in-variables model … and find that the remaining bias is substantial (20% of the true elasticity from left-side measurement error at the most …

We propose a first order bias correction term for the Gini index to reduce the bias due to grouping. The first order … reveals an intuitive formula for the remaining second order bias which is useful in empirical analyses. We analyze the … it reduces a considerable share of the bias due to grouping. …