Yoichi Sugita: Research Use of Administrative Data

October 10, 2024

In recent years, the use of administrative data has been attracting attention in the field of economics. Until now, the data used for research has mainly been collected for the purpose of creating statistics, such as the census. In contrast, administrative data is information collected by the government for its operations. Vast amounts of data, such as pension payment records and tax records, lie dormant within the government. In other countries, the use of administrative data for research has been progressing since the 2000s.

The greatest advantage of administrative data is that it is a raw record of actual economic activity. For example, pension records provide realistic data on the job change market—such as job change history, salary amounts, and periods of leave—which are difficult to investigate through statistical surveys.

I myself have been conducting research since 2011 using import/export declaration records from Mexican Customs. Import/export declarations submitted to customs record detailed transaction information, such as who sold what product to whom, when, at what price, and in what quantity. My research theme is to use this information to understand the characteristics of transactions between companies.

When asked "Why Mexico?", one reason is that in 2011, only a few countries made their import/export declaration records available for research, and Mexico was one of them. Meanwhile, the importance of our research was recognized in Mexico, and we received a domestic paper award in 2015. In this way, by opening up administrative data, researchers from all over the world gather to study important economic issues of that country, creating a positive relationship between government and academic research in many nations.

With the start of the Reiwa era, the research use of administrative data has also begun in Japan. Since 2022, the use of tax records from the National Tax Agency and import/export declaration records from Customs has commenced as joint research with the National Tax College and the Policy Research Centers and Institutes, respectively. Five researchers from Keio University, including myself, are participating in the use of import/export declaration records.

What must be noted when using administrative data is the protection of recorded personal information. In the case of import/export declaration records, data is prohibited from being taken out of PCs located in Kasumigaseki, and the content of the analysis is limited to those that do not identify individuals or companies.

Along with the joy of being able to participate in this new initiative, I feel a responsibility to make the research a success and pave the way for the future. It looks like my days of commuting to Kasumigaseki between classes will continue.