Small area benchmarked estimation under the basic unit level model when the sampling rates are non-negligible
Articles and reports: 12-001-X202100100007
We consider the estimation of a small area mean under the basic unit-level model. The sum of the resulting model-dependent estimators may not add up to estimates obtained with a direct survey estimator that is deemed to be accurate for the union of these small areas. Benchmarking forces the model-based estimators to agree with the direct estimator at the aggregated area level. The generalized regression estimator is the direct estimator that we benchmark to. In this paper we compare small area benchmarked estimators based on four procedures. The first procedure produces benchmarked estimators by ratio adjustment. The second procedure is based on the empirical best linear unbiased estimator obtained under the unit-level model augmented with a suitable variable that ensures benchmarking. The third procedure uses pseudo-empirical estimators constructed with suitably chosen sampling weights so that, when aggregated, they agree with the reliable direct estimator for the larger area. The fourth procedure produces benchmarked estimators that are the result of a minimization problem subject to the constraint given by the benchmark condition. These benchmark procedures are applied to the small area estimators when the sampling rates are non-negligible. The resulting benchmarked estimators are compared in terms of relative bias and mean squared error using both a design-based simulation study as well as an example with real survey data.
Main Product: Survey Methodology
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