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        Volume 11: LFS Longitudinal User Guide
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1.   and possibly misleading     Careful thought is needed about the precise coverage of any analysis   is it the  population of working age at the first quarter  the second quarter  or both quarters   The variable FLOW can be used to select any of these groups  codes 3 to 12 give  working age at the first quarter  2 to 11 at the second quarter  and 3 to 11 at both  quarters     Most analyses of interest are likely to be cross tabulations of a characteristic at the  first quarter with a characteristic at the second or fifth quarter  often restricted to a  subgroup  Some examples are  lone parents of working age at both quarters by sex  and age of youngest child and by economic activity at both quarters  young people  aged 18 to 24 unemployed at the first quarter by educational qualification and  economic activity at the last quarter  people reaching retirement age by the last  quarter by economic activity at both quarters and by reason for inactivity if inactive   Doing analyses of this kind  the numbers of cases in some cells can very quickly  decrease     Research so far on response error has been based on empirical analysis of  differences in levels of transitions between different economic activity categories and  of apparent internal inconsistencies  The initial investigations have provided  evidence supporting the suggestion that response error is likely to affect the  longitudinal datasets  probably in the direction of an upward bias in estimates of  gross flows between d
2.  first quarter according to the tenure landlord    6    categories  owned  rented from local authority housing association  privately rented      ii  These prior weights are then multiplied by a single grossing factor   except for  Northern Ireland where this factor is again multiplied by an adjustment factor to  compensate for the different sampling fraction   such that the weighted sample cases  sum to the overall population control total  described below   This results in the prior  weights used in the calculation of the final weights  described below       iii   A process of calibration weighting  also known as generalised raking  is then  applied to the sample  using CALMAR software  see Elliot 1997   This process  minimises the distance between the prior and final weights  while constraining the  final weights simultaneously to several marginal distributions or control totals  Four  sets of control totals are used      a  the population estimates used for weighting the second quarter s cross   sectional LFS dataset  for the selected age range  classified by sex and age  in  single years to 24  then five year age groups    this produces estimates as  close as possible to the population available for sampling in both the linked  quarters      b  the population estimates used for weighting the second quarter s cross   sectional LFS dataset  for the selected age range  classified by region      c  the weighted cross sectional estimates from the second linked quarter for  th
3. K Office for    ASS National Statistics       Labour  Force  Survey         M  User Guide  Volume 11   LFS TWO QUARTER AND   QUARTER LONGITUDINAL    DATASETS qe        lt        LFS LONGITUDINAL USER GUIDE  LFS TWO QUARTER AND FIVE QUARTER LONGITUDINAL DATASETS    Contents    INtrod  CtiOn ial cece ETE EREMO  EVAN ASSIS etic C                                        our                                                    LVI OCS ONS RTT T akinena eenia ia knaten paiaina  ucl  gm                                                    Aa  Sample SIZE REDE  Vu fie Milo sereia e aae aee ee eee    Some points on longitudinal analysis  including the implications of response error    Introduction    The Labour Force Survey  LFS  is a household survey  gathering information on a  wide range of labour force characteristics and related topics  Since 1992 it has been  conducted on a quarterly basis  with each sample household retained for five  consecutive quarters  and a fifth of the sample replaced each quarter see volume 1  of the LFS user guide  http   www ons gov uk ons guide method method   quality specific labour market labour market statistics index html  for more  information  The survey was designed to produce cross sectional data  but in recent  years it has been recognised that linking together data on each individual across  quarters would produce a rich source of longitudinal data     There are however methodological problems which could distort the data resulting  from this lin
4. N  variable isn t available      As SPSS only allows variable names to be eight characters long  a few variable  names which are already eight characters long have to be amended when the suffix  is added  These are as follows     1st Qtr 2nd Qtr  3    4    5    IOUTCOME IOTCOME1 IOTCOME2 3 4 5  SHFTWK99 SHTWK991 SHTWK992 3 4 5  HIQUAL1 1 HIUAL1 11 HIUAL112 3 4 5  HITQUAt 1 HIQUAt 11 HIQUA1 12 3 4 5    A variable FLOW has been added to the datasets  It gives in a convenient form the  categories relating to labour force gross flows  distinguishing between states in and  outside working age  The codes and categories are as follows     Aged 15 at both quarters   Entrant to working age between first and final quarter   In employment at first quarter  in employment at final quarter  EE   In employment at first quarter  unemployed at final quarter  EU   In employment at first quarter  inactive at final quarter  EN   Unemployed at first quarter  in employment at final quarter  UE   Unemployed at first quarter  unemployed at final quarter  UU   Unemployed at first quarter  inactive at final quarter  UN   Inactive at first quarter  in employment at final quarter  NE   Inactive at first quarter  unemployed at final quarter  NU   Inactive at first quarter  inactive at final quarter  NN   Reached retirement age by final quarter    OONDARWND        ok ek IE  N  oO    For the two quarter datasets this variable shows the flow over a 3 month  period  while for the five quarter datasets it sho
5. Wave 3    Wave 4    Wave 5       LFS cohort 4   first sampled JM14     Wave 2    Wave 3    Wave 4    Wave 5       LFS cohort 5   first sampled AJ14     Wave 1    Wave 2    Wave 3    Wave 4    Wave 5       LFS cohort 6   first sampled JS 14     Wave 1    Wave 2    Wave 3    Wave 4       LFS cohort 7   first sampled OD14     Wave 1    Wave 2    Wave 3       LFS cohort 8   first sampled JM15     Wave 1    Wave 2          LFS cohort 9   first sampled AJ15                    Wave 1       Figure 1 2  Structure of the five quarter longitudinal dataset    The highlighted waves form part of the LFS 5Q longitudinal dataset     3       Coverage    The focus of analyses of these datasets is on the population of working age  The  dataset is restricted to those aged 15 69 in the first quarter  Before the 2010  reweighting  the working age was 15 59 for women and 15  64 for men  which will be  the case for datasets before ODO1      The small proportion of people in the sample whose data  at any of the linked  quarters  had been imputed by rolling forward from the previous interview  were  excluded from the longitudinal datasets     From spring 1996 onwards  with the introduction of the household matrix approach to  gathering data on the people present in the household  a small proportion of people  in the sample have no data available on economic activity  People with no data on  economic activity at one or more of the linked quarters have been excluded from the  longitudinal datasets     F
6. e selected age range classified by broad economic activity categories  in  employment  unemployed  economically inactive      d  the weighted cross sectional estimates from the first linked quarter for the  selected age range classified by broad economic activity categories  in  employment  unemployed  economically inactive  adjusted to the same total as   a  to  c  by reducing the economically inactive category as necessary     CALMAR is run using the logit method  with the ratio of the final to prior weights  constrained to the range 0 1 to 2 4     The elements  iii   a  and  b  in this process produce population level estimates  and  also contribute to some extent to compensating for non response bias  the other  elements complete the compensation for non response bias     The extension of this method to create five quarter datasets consists of constraining  to the cross sectional economic activity distribution at each of the five quarters  This  involves repeating the constraint in  iii d for the second  third and fourth quarters as  well as the first  adjusting in the same way to achieve a total consistent with the fifth  quarter  When running CALMAR to create five quarter datasets  wider limits have to  be set for the ratio of final to prior weights  typically 0 1 to 2 8     Some points on longitudinal analysis  including the implications of  response error bias    All analyses should be run weighted by LGWT  otherwise the results will be distorted  by non response bias
7. ent of each of the datasets     When the linked datasets are created  all the variables relating to the first of the  linked quarters are renamed  with a suffix of 1 added to the original variable name   and all the variables relating to the second of the linked quarters have a suffix of 2  added to the original variable name  and so on  For example  if we link together the  JM14 and AJ14 quarters  then the variable TEN1 from the first quarter  JM14     4    becomes TEN 1 1in the linked dataset  and TEN1 from the second quarter  AJ14   becomes TEN12  and so on until the AJ15 variable becomes TEN15  This is true for  all the variables in all the datasets  except for the unique identification variable and  the variables for sex and date of birth which are used for checking that the match  between the quarters are correct  These must be identical for each of the quarters  being linked and therefore have no suffix     Some of the variables are not available for all quarterly interviews and are therefore  not available in one or more of the quarters of some of the linked datasets  For  example  the variable TRNLEN  Length of training course  is only available for JM  and AJ quarters from 1997  Therefore on the AJ15 5 quarter longitudinal dataset it  will be available for the first quarter  AJ14  as TRNLEN 1  the fourth quarter  JM15   as TRNLEN4 and the fifth quarter  AJ15  as TRNLEN5  TRNLEN2 and TRLENS3  won t be available as they represent the JS and OD quarters where the TRNLE
8. ifferent broad economic activity categories  It has also  provided some tentative indications of transitions and subgroups particularly likely to  be affected  These are transitions between unemployment and inactivity  transitions  between part time employment and either unemployment or inactivity  for women  any transitions involving unemployment  and for students transitions between  employment and unemployment  However  some of the apparent inconsistencies  may be caused by genuine volatility  repeated movements back and forth between  different economic activity states  rather than by response error     Contact details    All enquiries about the longitudinal datasets should be directed to  socialsurveyS ons gov uk     Reference    Elliot  D  1997  Software to weight and gross survey data  GSS Methodology Series  No 1     
9. king  They fall into two main groups  biases arising from non response  and the sample attrition arising from it  and biases arising from response errors   particularly their effects in producing spurious flows between economic activity  states  ONS undertook a joint research project with Southampton University to  address these methodological issues  which produced a satisfactory methodology for  compensating for the biasing effects of non response  and a procedure has been  developed for applying it in longitudinal datasets linking two or five adjacent quarters     This guide describes the two quarter and five quarter longitudinal LFS datasets and  how to use them  It describes briefly how they are produced  but does not give  details of the methodological development   this is covered in detail in paper 17 of  the GSS Methods and Quality series  entitled  Methodological Issues in the  Production and Analysis of Longitudinal Data from the Labour Force Survey  by Paul  Clarke and Pam Tate     Datasets    The quarterly LFS started in spring 1992  but the rotational pattern of the sample  was not established until winter 92 93  therefore this is the first quarter available for  longitudinal linking  From May 2006  the LFS moved from seasonal quarters  e g  Spring  March to May  to calendar quarters  April June  Q2   the LFS user guide  volume 1 provides more details about this     Two quarter longitudinal datasets have been produced for all pairs of adjacent  quarters from win
10. or the period from winter 1995 6  the datasets cover the UK  The Northern Ireland  survey did not change from an annual to a quarterly survey until winter 1994 95  and  the rotation pattern of the sample was not fully established until winter 1995 96   therefore the longitudinal datasets which include quarters before winter 1995 96  cover just Great Britain     Linking procedure    The regular quarterly individual level LFS dataset for the first of the quarters to be  linked is used to produce a reduced cross sectional dataset confined to the age  range and variables to be used for the longitudinal dataset  A unique identification  variable  PERSID  is created  A similar procedure is followed for the other quarters   The reduced cross sectional datasets for the two or five quarters to be linked are  matched by the unique identification variable and checked to ensure that the cases  linked match also on sex and date of birth  All unmatched cases are dropped  as are  all cases where the data were rolled forward  or where there are no data on  economic activity  at any of the quarters     Variables    Because of the resources involved in production and the size of the resultant  datasets  the longitudinal datasets include only a subset of the full LFS variable set   This subset has been agreed in consultation with users and represents the most  important and commonly used variables covering the main areas of the survey  A full  variable list has been created which shows the cont
11. ter  NEN   15 Inactive at first  unemployed  inactive at last quarter  NUN   16 Employed at first  unemployed  inactive at final quarter  EUN   17 Employed at first  inactive  unemployed at final quarter  ENU    UEN    UNE    NEU    NUE     Qo oos4om    zccmmecm  emmzzc  7    18 Unemployed at first  employed  inactive at final quarter UEN  19 Unemployed at first  inactive  employed at final quarter UNE  20 Inactive at first  employed  unemployed at final quarter NEU  21 Inactive at first  unemployed  employed at final quarter NUE  22 3 or 4 moves between categories    Sample size    Because of sampling variability  the smaller the group being estimated the poorer the  precision of the estimate becomes  until eventually the estimate is not reliable  enough to be used   See Volume 1  in particular section 8 of the LFS User Guide for  a detailed discussion   For the two quarter longitudinal datasets  the number of  sample cases available for linkage is around 35 000  For the five quarter dataset it is  around 5 000  therefore the results are subject to greater variability due to higher  attrition     Weighting   The weight  LGWT  for these datasets serve two purposes  They compensate for  non response bias  and also produce estimates at the level of the population  The  calculation of the weights for the two quarter datasets involves the following stages      i  Initial prior weights are calculated such that they reproduce the distribution of  the cross sectional sample from the
12. ter 1992 93 onwards   for example  the winter 1992 93 dataset was  linked with the spring 1993 dataset  This is illustrated in Figure 1 1        LFS two quarter longitudinal dataset  April June 2015        AJ14    JS14    OD14    JM15    AJ15       LFS cohort 1   first sampled AJ13     Wave 5       LFS cohort 2   first sampled JS13     Wave 4    Wave 5       LFS cohort 3   first sampled OD13     Wave 3    Wave 4    Wave 5       LFS cohort 4   first sampled JM14     Wave 2    Wave 3    Wave 4    Wave 5       LFS cohort 5   first sampled AJ14     Wave 1    Wave 2    Wave 3    Wave 4    Wave 5       LFS cohort 6   first sampled JS14     Wave 1    Wave 2    Wave 3    Wave 4       LFS cohort 7   first sampled OD14     Wave 1    Wave 2    Wave 3       LFS cohort 8   first sampled JM15     Wave 1    Wave 2       LFS cohort 9   first sampled AJ15     Wave 1                         Figure 1 1  Structure of the two quarter longitudinal dataset   The highlighted waves form part of the LFS 2Q longitudinal dataset     Five quarter longitudinal datasets have also been produced for the same periods  for  example linking spring 1993 with spring 1994 and containing data from all five waves  of the survey  This is shown in Figure 1 2       LFS five quarter longitudinal dataset  April June 2015           AJ14    JS14    OD14    JM15    AJ15       LFS cohort 1   first sampled AJ13     Wave 5       LFS cohort 2   first sampled JS13     Wave 4    Wave 5       LFS cohort 3   first sampled OD13     
13. ws the flow over a 12 month  period     In addition  a variable ANFLOW has been added to the five quarter datasets  It gives  categories relating to labour force gross flows across all five of the linked quarters   There are 243 possible sequences over five quarters  many of which will have very    5    small frequencies  particularly the ones involving 3 or 4 moves  For this reason a  simplified categorisation is presented which combines together those sequences  where only the timing differs   for example  all cases which start in employment and  end in unemployment  with no other transitions  are in category 4 below  regardless  of the wave in which they became unemployed  The codes and categories are as  follows     In employment in all quarters  Unemployed in all quarters  Inactive in all quarters  In employment at first quarter  unemployed at final quarter  In employment at first quarter  inactive at final quarter  Unemployed at first quarter  inactive at final quarter  Unemployed at first quarter  in employment at final quarter  Inactive at first quarter  in employment at final quarter  Inactive at first quarter  unemployed at final quarter  10 Employed at first  unemployed  in employment at final quarter EUE   11 Employed at first  inactive  in employment at final quarter  ENE   12 Unemployed at first  inactive  unemployed at final quarter  UNU   13 Unemployed at first  employed  unemployed at final quarter  UEU   14 Inactive at first  employed  inactive at final quar
    
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