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Re: st: how to fill some gross wage missings if I have the net wage

From   Austin Nichols <>
Subject   Re: st: how to fill some gross wage missings if I have the net wage
Date   Wed, 15 Dec 2010 16:00:55 -0500

Laura R. <>:
More institutional detail is required for a good answer--net of what?
Taxes (federal/state/payroll--employee and employer), tax-deferred or
tax-exempt contributions (health insurance premiums? pension
contributions? including employer components?), union dues, other
deductions, etc.? That said, you can validate a regression model for
imputation by first restricting your attention to the 30% and
artificially making half (or more) missing, then imputing those "fake
missings" using official -mi- or -ice- on SSC, and checking your
results against the unaltered data.  Once you're comfortable with your
model, take it back to the full dataset.  I would start with a linear
spline in gross wage, i.e. categories and linear terms; see also -help
mkspline-.  Also read:

On Wed, Dec 15, 2010 at 10:10 AM, Laura R. <> wrote:
> for some reason, I would like to use the gross wage for my estimations. However,
> - only 30% of respondents have given both net and gross wage, while
> - 70% of respondents have only given their net wage.
> These data are all from the same country and therefore underlying the
> same tax laws. So on the basis those who gave both gross and net wage
> and with the help of the net wage of those where the gross wage is
> missing, can I impute the missing gross wages? If so, how could I
> implement this in Stata?
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