Wealth,pensions,debt,and savings: Considerations for a panel survey

Abstract

Several U.S. panel surveys measure household wealth. At the same time, our understanding of many important aspects of household wealth accumulation remains incomplete. We argue that measurement error is one factor that limits the usefulness of the existing longitudinal surveys for research on wealth and savings. We review the features of wealth data that make it difficult to collect and assess which assets and debts households are more likely to report accurately. An examination of data from the Survey of Consumer Finances suggests that households find it particularly difficult to report the values of their pensions and businesses. We suggest several considerations in choosing between improving existing surveys and starting a new one.