Summary

Prorating is a simple method to reconcile conflicting information as described in the module “Micro-Fusion – Reconciling Conflicting Microdata”. The method is designed for equality edits, especially with business statistics in mind, where often a total (turnover, costs etc.) is broken down into a number of specifications (turnover from different activities, different kinds of costs). Inconsistencies arising when the specifications do not add up to the total are often handled by prorating. The method handles a single edit rule at a time and is therefore in practice applied to each of the edit rules one by one. This has the drawback that the order in which the edits are treated does matter and quite different results can be obtained by different orders. This drawback has led to the more principled approaches described in the modules “Micro-Fusion – Minimum Adjustment Methods” and “Micro-Fusion – Generalised Ratio Adjustments”.

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