A report says new approaches and increased spending are needed to ensure that government statistics remain dependable and free of political influence.According to a recent report from The New York Times, government statistics are facing increasing threats to their reliability and independence. The report, issued by the American Statistical Association, highlights the importance of government data in decision-making processes for the Federal Reserve, Congress, the White House, and investors. However, the study warns that factors such as shrinking budgets, falling survey response rates, and potential political interference could jeopardize the integrity of this data.

The authors of the report, which includes statisticians from George Mason University and the Urban Institute, compare the statistical system to physical infrastructure, emphasizing its vital role in society. They also warn of a potential downward spiral if action is not taken to address these threats.

Nancy Potok, former chief statistician of the United States and one of the report’s authors, explains, “We do identify this sort of downward spiral as a threat, and that’s what we’re trying to counter. We’re not there yet, but if we don’t do something, that threat could become a reality, and in the not-too-distant future.”

The report, titled “The Nation’s Data at Risk,” highlights the risks facing various types of government statistics, including data on education, health, crime, and demographics. However, the risks to economic data are particularly concerning due to the attention it receives from policymakers and investors.

Most economic data is based on surveys of households or businesses, but response rates to these surveys have significantly decreased in recent years. For example, the response rate to the Current Population Survey, which is used to calculate the unemployment rate and other labor force statistics, has fallen from nearly 90 percent a decade ago to about 70 percent in recent months.

In order to maintain the reliability and independence of government statistics, the report recommends new approaches and increased spending. The authors stress the importance of addressing these threats before they become a reality and have a significant impact on decision-making processes. 

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