The Measurement of Cognitive Ability in Wave 12 of the HILDA Survey

This paper provides a statistical overview of three new cognitive ability measures collected in wave 12 of the HILDA Survey: (i) Backwards Digit Span; (ii) the Symbol Digits Modalities Test; and (iii) a 25-item version of the National Adult Reading Test. The paper: analyses willingness to participate (as reflected in item response); examines the evidence on the performance of the measures and the extent to which scores were influenced by external circumstances, interview mode, and interviewers; reports summary descriptive data; and presents cursory evidence on the extent to which the measures are predictive of outcomes, and more specifically the hourly wage among working-age employees.