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CPS2259 Florabela Carausu et al.
                   Big Data can directly or indirectly benefit policy making, if the associated
               risks are adequately prevented, by:
                   -  answering new questions and producing new indicators;
                   -  bridging time lags in the availability of official statistics and supporting
                      the timelier forecasting of indicators;
                   -  providing  an  innovative  data  source  in  the  production  of  official
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                      statistics.
               Mobile positioning data, a Big Data source, can offer the possibility to detect
               daily  commuting  flows,  allowing  for  the  delineation  of  LMAs  or  offers  the
               possibility for population estimates.
                      Other  statistical  techniques  may  include  the  downscaling  of  socio
               economic  indicators  based  on  grid  cells  and  GIS  opportunities;  see
               ESPON(2011): Disaggregation of socioeconomic data into a regular grid and
               combination with other types of data.

               At European level, Eurostat promotes and finances exploratory analyses of
               functional  areas,  such  as  the  Labour  Market  Areas  (LMA);  see
               https://ec.europa.eu/eurostat/cros/content/labour-market-areas_en

               More  recently,  Eurostat  has  entrusted  to  the  consulting  company  GOPA
               Luxembourg S.a r.l in collaboration with the University of Trier, a study on
               ‘Small Area Estimation (SAE) for city statistics and other functional areas (part
               II)’.  The  objective  of  the  study  is  to  test  more  sophisticated  Small  Area
               Estimation (SAE) methods and to produce guidelines to Eurostat and the NSIs
               on how to estimate data from social surveys such as the Survey on Income
               and Living Conditions (SILC) and the Labour Force Survey (LFS) at city and
               Functional  Urban  Area  (FUA)  level.  The  main  outcome  will  be  a  set  of
               guidelines  proposing  a  sound  methodology  using  SAE  (and other  method
               such as cluster analysis and probability statistics) to calculate variables and
               indicators of interest. The guidelines should be applicable to all kind of social
               surveys, not only the SILC. The guidelines will be finalised by mid-2019.
                      The  study  is  a  continuation  of  ‘Small  Area Estimation  (SAE)  for city
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               statistics and other functional areas (part I)’  which tested the application of
               SAE  methods  on  the  Urban  Audit  city  data  collection  on  the  basis  of  the
               indicator Share of Persons at Risk of Poverty or Social Exclusion.



               13  See IMF Staff Discussion Note: ‘Big Data: Potential Challenges and Statistical Implications’,
               SDN/17/06, September 2017
               14
               https://circabc.europa.eu/webdav/CircaBC/ESTAT/regstat/Library/Working%20Group%20Meet
               ing%202017/Documents/9.3%20E4_REG_2017_93_Annex_SAE%20for%20City%20statistics.pdf
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