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arXiv · 2510.24153

Machine Learning for the Production of Official Statistics: Density Ratio Estimation using Biased Transaction Data for Japanese labor statistics

Yuya Takada·Kiyoshi Izumi
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Abstract

National statistical institutes are beginning to use non-traditional data sources to produce official statistics. These sources, originally collected for non-statistical purposes, include point-of-sales(POS) data and mobile phone global positioning system(GPS) data. Such data have the potential to significantly enhance the usefulness of official statistics. In the era of big data, many private companies are accumulating vast amounts of transaction data. Exploring how to leverage these data for official statistics is increasingly important. However, progress has been slower than expected, mainly because such data are not collected through sample-based survey methods and therefore exhibit substantial selection bias. If this bias can be properly addressed, these data could become a valuable resource for official statistics, substantially expanding their scope and improving the quality of decision-making, including economic policy. This paper demonstrates that even biased transaction data can be useful for producing official statistics for prompt release, by drawing on the concepts of density ratio estimation and supervised learning under covariate shift, both developed in the field of machine learning. As a case study, we show that preliminary statistics can be produced in a timely manner using biased data from a Japanese private employment agency. This approach enables the early release of a key labor market indicator that would otherwise be delayed by up to a year, thereby making it unavailable for timely decision-making.

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Yuya Takada, Kiyoshi Izumi. 2025-10-28. Machine Learning for the Production of Official Statistics: Density Ratio Estimation using Biased Transaction Data for Japanese labor statistics. https://arxiv.org/abs/2510.24153

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