Fabrice Murtin OECD Statistics Directorate CESS 2016, Budapest

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Presentation transcript:

Fabrice Murtin OECD Statistics Directorate CESS 2016, Budapest Using Big Data for Social Statistics: OECD initiatives, with an application to US subjective well-being data Fabrice Murtin OECD Statistics Directorate CESS 2016, Budapest

The OECD ‘Smart Data’ Strategy From Big Data…: the OECD recently launched numerous projects using new types of data (e.g. geospatial, social media, web-scrapping) through partnerships with other organisations (ESA, Facebook, Google, AirBnB…) …to Smart Data: new ways of combining old and new data are explored (e.g. nowcasting of income distribution) Examples: A Civil Tension Indicator tracking news from Reuters and AFP and using automatic text analysis (Development Centre) Use of geospatial data for measuring air pollution or urban density (Environment/Governance Directorates) Use of smartphone data to understand geographical mobility

Examples of OECD Big Data projects Exposure to fine particles (PM2.5) in the air, 2013

Some Pros of Big Data Timeliness: OECD « Timeliness Initiative » as part of broader “Smart Data” Strategy (Income Distribution, SWB for other countries than the US) Granularity: Big Data yield new insights at local level, e.g. CPI or housing prices at regional level (ITA), structure of city amenities (US) Reflect behaviour: Big Data are often based on traceable human behaviour, e.g. internet searches are actions that may reveal people’s concerns and shed light on the proximate determinants of SWB; same consderatins apply to phone/satellite data

Internet data as a good illustration of pros Internet data are timely, available at regional/MSA levels, and reflect actual behaviours A case-study by the OECD Statistics Directorate: tracking weekly SWB-data (GWP) in the US download Google search frequencies of some keywords (from Google Trend) associated with subjective well-being (SWB) pool keywords into 11 categories covering important aspects of life (e.g. financial security, family stress, job market, personal security, summer leisure…) explain and predict 10 survey-based (GWP) indices of positive and negative subjective well-being in the US with time-series for these 11 search-categories

Challenges (1) Noisy data: search frequencies for many keywords display erratic changes October 31, 2011: Kim Kardashian files for divorce from Kris Humphries after 72 days of marriage

Challenges (2) Data volume is huge: we start with 554 keywords and classify them by categories -> reduce high-dimensionality and enhance quality of signal Data may be unstable and hard to access: Google time series require privileged access, are not stable over time due to change in search-algorithm etc…

Findings The model displays good ‘out-of-sample’ prediction for the 10 SWB variables Overall, keywords associated with job search, financial security, family life and leisure are the most important internet predictors of SWB-data in the US Challenge: can the same model be used to predict SWB in other OECD countries? Test Training sample Test

Conclusions An emerging trend…: a big data revolution is on course …with promises and pitfalls : i) access to new information; ii) granularity and timeliness; ii) high learning cost (data treatment and optimal use) For time being, Big Data provide a complement to official statistics, with sometimes uncertain legal status