Nayoung Lee, Geert Ridder, and John Strauss, "Estimation of Poverty Transition Matrices with Noisy Data", Journal of Applied Econometrics, Vol. 32, No. 1, 2017, pp. 37-55. The file lrs-files.zip contains 78 files in two folders. The first folder is for the preparation that uses STATA to clean up raw data and make matlab estimation ready files, and the other folder is for the main analysis using MATLAB. We provide three text files Data_1999_2007.txt, Data_sfddm.txt, and DataH_sfddm.txt in the estimation folder for those who want to skip the preparation steps (1) and (2). The step (3) should still be done to make Matlab estimation/simulation ready files. All files are ASCII files in DOS format. Unix/Linux users should use "unzip -a". Data_1999_2007.txt contains the following variables. (1) hhid: household id (2) yearV: year (3) hsize: household size (4) ln_at_cons: log of household consumption in t (5) ln_l_at_cons: log of household consumption in t-1 (6) l_is_head: income satisfaction of head in t-1 (7) l2_is_head: income satisfaction of head in t-2 (8) l3_is_head: income satisfaction of head in t-3 (9) hage: age of head (10) hedu: education of head (11) hsex: sex of head (12) m65: ratio of male over 65 (13) f55: ratio of female over 55 (14) nonspouse: indicator of no spouse (15) seoul: indicator of seouler (16) d02-d07: year dummy variables 2002-2007 Data_sfddm.txt and DataH_sfddm.txt contain the household id for the households analyzed in this paper (without and with holding household size, respectively). A. Preparation: (1) The raw data are from Korean Labor and Income Panel Survey (KLIPS). https://www.kli.re.kr/klips_eng/contents.do?key=251 (2) Run 0000RunThisProgramExcuteAll in the Preparation folder, which makes Data_1999_2007.txt, Data_sfddm.txt, and DataH_sfddm.txt in the Estimation folder. (3) Run TansitionMatrixData in the Estimation folder to make Matlab estimation/simulation ready files. B. Main Analysis: Run TransitionMatrix0 to run the estimation/simulation programs (in order) and have all tables. Details: TransitionMatrix1 Two Step GMM estimation (Table E3 column 1) and its overidentification tests TransitionMatrix1a MA(0) test (Table E3 column 2) TransitionMatrix1b F test TransitionMatrix1c Serial correlation test (with third lag) TransitionMatrix1d Serial correlation test (with first lag) TransitionMatrix1e Serial correlation test (with second lag) TransitionMatrix1f Income satisfaction orthogonality tests TransitionMatrix1z same as 1 with a function returning J and df TransitionMatrix2 Variances of errors (Table 2) TransitionMatrix2a Bootstrapping standard error (Table 2) TransitionMatrix2b P-value for bootstrapping standard error TransitionMatrix2c Normality tests, bootstrap sample TransitionMatrix2d Normality tests, calculating standard error (Table 7) TransitionMatrix3 Consumption simulation (Table 3 and Table E4) TransitionMatrix3a Simulation of consumption and transition matrices based on empirical distribution (Table E9 and E10) TransitionMatrix3b Function for the empirical distribution TransitionMatrix3c Bootstrapping, simulation of consumption and transition matrices based on empirical distribution TransitionMatrix3d Calculating standard error transition matrices based on empirical distribution (Table E9 and E10) TransitionMatrix3e Bootstrapping for Table 3 STD TransitionMatrix3f Calculating standard error for Table 3 TransitionMatrix4 Function for the calculation of 2x2 Poverty transition matrices (Table 5) TransitionMatrix5 Function for the calculation of 5x5 Mobility matrices (Table 6) TransitionMatrix6 Bootstrap standard error for Table 5 and 6 TransitionMatrix7 Other tables (Table 1, 4, E5, E6) TransitionMatrix8 Mean-reverting errors (Table E11) TransitionMatrix9 Holding constant household size (Table E7 and E8) by excuting TransitionMatrix9a-TransitionMatrix9h