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Data reduction of discrete responses: an application of cluster analysis

Jeff Borland (), Joseph Hirschberg () and Jeanette Lye ()

Applied Economics Letters, 2001, vol. 8, issue 3, 149-153

Abstract: One form of data reduction is cluster analysis which is used to separate detailed data into constituent groups. This paper illustrates a useful application of cluster analysis to the data reduction of detailed discrete responses of a type that are often found in large surveys. This method is illustrated using the ABS Training and Education Experience Survey 1993a (TEES). This survey provides a detailed range of information on individuals' computer skills. The information given in the survey is simplified by using a form of cluster analysis to combine categories of computer ability and skills. Wage equations are estimated using different assumptions on the degree of clustering.

Date: 2001
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Working Paper: Data Reduction of Discrete Responses: An Application of Cluster Analysis (1998)
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DOI: 10.1080/13504850150504496

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