Questionnaire Design and Response Propensities for Labour Income Microdata

Abstract The income question in household surveys is one of the most socially sensitive constructs. Two problems that arise with social sensitivity concern the probability of obtaining a response and the type of response provided. In survey error terms, this translates into an important relationship between questionnaire design (construct validity) and item non-response. In turn, these affect the statistical distribution of income that has both univariate and multivariate implications. Consequently, the interrelationship between questionnaire design and response type is crucial to understand when conducting analyses of the income variable.