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On the Informative Value of "Remain Unchanged" Answers in the Economic Sentiment Surveys
Mieczysław Kowerski
Abstract
In almost all economic sentiment surveys three option multiple – choice question are used: improve, remain unchanged, deteriorate In calculation of balances the “remain unchanged” replies are discarded, because the experience in the OECD countries has shown that this loss of information is unimportant for most uses of business tendency surveys. From the side in many surveys “remain unchanged” the fraction replies in the total is above 50%. So we can formulate the question: Is really the loss of such big number answers is unimportant and what does it mean that respondent replay “remain unchanged”. In our opinion we should not easily discarded the replies “remain unchanged” because they can give us a lot of very interesting additional information on the investigated population. In article to analysis the “remain unchanged” replies the concept of the Ordered Dependent Variable Models was proposed. Estimated model can be used to analysis of the probability of “remain unchanged” replies dependent on the characteristics of respondents, the replies on other questions and the socio-economic situation in region and in the country.
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