Stata command: bfmcorr

Stata command for correcting survey data using tax data with the method described in:

The Weight of the Rich: Improving Surveys Using Tax Data 

(with Thomas Blanchet and Ignacio Flores)

Installation and Documentation

Users should install the package via ssc by typing:

ssc install bfmcorr

For the description of the command, type help bfmcorr. For the description of postestimation tools, type help postbfm.

The sub-command bfmtoy allows users to parametrically simulate income distributions to see how bfmcorr works in practice. See help bfmtoy for instructions. 

All the original .ado files can be accessed here (Stata may not always have the latest version when updates are made). 



See the file example for a complete illustration of the method with Brazilian data for 2014.

bfmcorr using "$dir_dta/gpinter-brazil-2014.xlsx", ///

  weight(person_weight) income(yhh) households(hid) ///

  taxu(i) trust(0.8) holdmargins(age_group male)

// Show the shape of the bias

postbfm biasplot

// Compare the Lorenz curves before and after correction

postbfm lorenz