Living Standards Measurement Study Kinnon Scott June, 2003 DECRG- World Bank

Living Standard Measurement Study (i) Research program originally Household surveys with community and price data and facility data Multi-topic- focus on determinants Robust money-metric measure of welfare (MDG 1)

Living Standard Measurement Study (ii) Consolidation Variety of contexts, countries Validation of methodology Analytic techniques

Living Standard Measurement Study (iii) Decentralization Capacity building Tools Dissemination

LSMS Surveys Ever more important source of information Poverty Reduction Strategies Millennium Development Goals

LSMS: Data for the MDGs  Halve income poverty  Halve hunger Proportion of population < $1 (PPP) a day Poverty gap ratio Share of poorest quintile in national consumption Prevalence of under-weight children under 5 yrs of age % of population below minimum dietary energy consumption MDG 1: Eradicate extreme poverty &hunger 

Providing Data for the MDGs i. Eradicate extreme poverty and hunger ii. Achieve universal primary education iii.Promote gender equality iv.Reduce child mortality v.Improve maternal health vi.Combat HIV/AIDS, malaria vii.Ensure environmental sustainability Halve income poverty Halve hunger Universal primary education Gender equality in education 2/3 ↓in child mortality 3/4 ↓in maternal mortality ratio Halt spread of AIDS Halt incidence of Malaria Integrate sustainable dev. Halve pop. w/out safe water  

New Initiatives for LSMS Focus on improvements, meeting new needs Several projects to do this

Comparative Living Standards Project (CLSP) Extension of activities to facilitate, increase data use –Document and archive the 60+ LSMS survey data bases –Improvements in data access policies/agreements –Provide data and documentation to researchers (data set, Basic Information Document, Questionnaire, Additional Information) –All in electronic format (and hardcopy) –In-country activities (collaboration,training)

Two key problems in further dissemination/use of data 1. No easy way to determine the content of all the surveys

CLSP: Meta Data of LSMS Surveys Create web-based tool containing meta data describing the contents of existing LSMS data sets Searchable Data Base –By topic –By country –By year Update continually

CLSP--Problem 2: Many potential users do not have skills to analyze micro-data Many potential users do not have time to analyze multiple data bases Under-utilization of the data

CLSP: Comparative Data Base Create a database of a subset of variables/indicators from LSMS Surveys Focus on comparability across countries, documenting carefully Allow ‘on-the-fly’ tables/statistics/regressions within and among countries Respecting sampling (weights, representat.) Attention to welfare measures

LSMS Surveys: New Initiatives Public goods nature of data New demands Short- medium term: (i) Expand knowledge (ii) Expand dissemination

LSMS: New Initiatives (i) Improve Knowledge -test suggested modules -carry out experiments- accuracy, efficiency, quality -new concepts- feasibility, usefulness - new technologies All leading to increased quality of data- for MDGs, for PRSPs, for sectoral issues

LSMS- New Initiatives (ii)Expand dissemination -work with other organizations involved in household surveys -work with statistical agencies to implement experiments and carry out analysis - conferences on innovations in survey methodology, analysis of micro-data

Partnerships Data Users and Data Producers International organizations and national organizations Regional organizations NSOs, line ministries, research groups

Selected Bibilography Deaton, Angus and Salman Zaidi, “Guidelines for Constructing Consumption Aggregates for Welfare Analysis.” LSMS Working Paper No. 135, World Bank, Development Economics Research Group Department, Washington, D.C. Grosh, Margaret and Paul Glewwe (2000). Designing Household Survey Questionnaires for Developing Countries: Lessons fro 15 years of the Living Standards Measurement Study. World Bank, Washington, D.C. Martin Ravallion, “Poverty Comparisons: a Guide to Concepts and Methods”, LSMS Working Paper No. 88.

Selected Bibilography Grosh, Margaret and Juan Munoz, “ A Manual for Planning and Implementing the Living Standards Measurement Study Surveys” LSMS Working Paper, No World Bank (2000). “Nicaragua: Ex-Post Impact Evaluation of the Emergency Social Investment Fund (FISE)”, Report No NI, Washington D.C. LSMS Web Site: Questions or comments? Write us at