Bolivia

Title: Encuesta de hogares _ MECOVI

GENERAL INFORMATION AND BASIC DEFINITIONS

1. Background

Further information is available from Instituto Nacional de Estadística (I.N.E) of Calle Carrasco n°1391 Miraflores, phone: 591-2-222-333, fax: 591-2-222-693, e-mail: jcarvajal@ine.gov.bo.
Data have been collected by household survey since 1999.

2. Purpose and coverage

The following purposes are considered to be very important or of some importance:

• to study the general structure of household incomes/expenditures
• to study income/expenditure patterns of disadvantaged groups, including pensioner households, single parent households, etc
• to study income/expenditure disparities among socio-economic groups
• to study consumer behaviour among socio-economic groups
• for general poverty and/or income distribution studies
• to study effects on income and expenditure of policy changes, especially tax changes
• for market research purposes

Lesser importance is attached to:

• to obtain weights for consumer price index
• to estimate household expenditure for national accounts

Geographic coverage: National with the following geographic areas excluded: none .

Population coverage:
The following types of household are included in the data collection:

• one person private households
• private households with more than one person
• households of other foreigners in the country
• armed forces residing in private housing outside military base

The following types of household are excluded in the data collection:

• those in collective housing (such as long term hospitals, prisons, monasteries, military quarters)
• non-resident households of nationals (households of nationals located abroad)
• diplomatic households in the country
• armed forces residing in private housing within military base

Units:
Dwelling units are used in the sample selection and are characterised by:

• single structure - detached housing unit

Data are recorded for the household unit which is characterised by:

• one person units
• two or more people living together:
  • sharing meals
  • sharing a common budget for (at least) food and housing expenditures
  • pooling their income to some extent

Unit members: Usual residents temporarily living away from the dwelling are included, if away continuously for less than 3 months. Visitors (not usual residents) temporarily living in the dwelling are included, if staying continuously for more than 3 months. Domestic staff living in same dwelling/compound are included in the unit. Renters living in same dwelling/compound are not included in the unit. Boarders living in same dwelling/compound are included in the unit.

Head of unit:
The concept of head of household/other unit is used in this survey and is characterised by:

• acknowledged as such by other household/unit members
• main income earner

3. Reference periods

SURVEY METHODOLOGY

4. Sample design

The Primary, Secondary and Ultimate Sampling Units are enumeration area/district, dwelling and dwelling respectively.

Stratification:
Areas/districts were stratified using the following criteria:

• geographical regions
• population agglomeration

Other units were stratified using the following criteria: None. The sampling frames for the Primary Sampling Unit (PSU) and Ultimate Sampling Unit (USU) were the list of Census enumeration areas and a separate listing exercise respectively.¹ Primary Sampling Units (PSU) were selected using probability proportional to size. The sample size was 5952 households or other units. The overall response rate for the survey was 95 percent. Errors/biases were minimized by using an updated sampling frame, an increased sample size.

Enumeration procedure: Enumeration uses a single round survey design in which each reporting unit is enumerated only once. The sample is not divided into representative sub-samples. No action is taken to select a smaller set of reporting units for more detailed questioning.

DATA COLLECTION, CONCEPTS, DEFINITIONS AND CLASSIFICATIONS

5. Income data

Income data are collected. Receipts have to be regular and recurring to be considered as income. Income excludes receipts resulting from the sale or reduction of assets and/or from incurring liabilities. Income excludes receipts that are not currently available to the unit.

The following receipts are collected separately:

• wages and salaries
• employee income in-kind provided free or subsidized: housing
• employee income in-kind provided free or subsidized: meals
• employee income in-kind provided free or subsidized: car/transportation
• employee income in-kind provided free or subsidized: other goods or services
• services from owner-occupied dwellings
• interest received
• dividends
• rentals (payment received for produced assets e.g. house) , gross of expenses
• rents (payment received for un-produced assets e.g. land)
• regular pensions/annuities from schemes to which employee does not contribute
• retirement pensions from compulsory social security schemes
• old age benefits
• invalidity benefits
• survivors benefits
• food subsidies
• regular inter-household transfers received from: family, e.g. alimony, child/parental support
• regular inter-household transfers received from: regular inheritances or trusts

The following receipts are collected but not separately:

• remuneration for time not worked, e.g. leave pay
• termination and redundancy payments
• other pensions

The following receipts are not collected:

• cash bonuses and gratuities
• commissions and tips
• employer social security contributions
• employee social security contributions
• employee income in-kind provided free or subsidized: goods or services produced by employer
• profit/loss from unincorporated enterprises (mixed income)
• drawing for own use from unincorporated enterprises
• goods produced for own consumption
• services produced for own consumption
• goods produced for barter
• services produced for barter
• stock consumed from unincorporated enterprise
• services from other consumer durables (net)
• royalties
• unemployment benefits
• family-related allowances
• sickness benefits
• education-related allowances
• housing allowances
• free government dwelling
• subsidized government dwelling
• medical reimbursements
• other social insurance benefits
• other social assistance benefits
• regular support received from non-profit institutions serving households: cash, e.g. scholarships
• regular support received from non-profit institutions serving households: goods and services
• regular support received from non-profit institutions serving households: free dwelling
• regular support received from non-profit institutions serving households: subsidized dwelling
• regular inter-household transfers received from: regular cash gifts
• regular inter-household transfers received from: regular in-kind gifts
• regular inter-household transfers received from: free dwelling
• regular inter-household transfers received from: subsidized dwelling
• regular inter-household transfers received from: regular free services
• social transfers in kind: medical services
• social transfers in kind: public education
• social transfers in kind: transport subsidies
• social transfers in kind: cultural and recreational services
• social transfers in kind: others

The following receipts are classified as income from paid employment:

• wages and salaries
• employee income in-kind provided free or subsidized: housing
• employee income in-kind provided free or subsidized: meals
• employee income in-kind provided free or subsidized: car/transportation
• employee income in-kind provided free or subsidized: other goods or services
• food subsidies

The following receipts are classified as property income:

• services from owner-occupied dwellings
• rents (payment received for un-produced assets e.g. land)

The following receipts are classified as other income but not employment-related:

• interest received
• dividends
• rentals (payment received for produced assets e.g. house) , gross of expenses
• regular pensions/annuities from schemes to which employee does not contribute
• retirement pensions from compulsory social security schemes
• old age benefits
• invalidity benefits
• survivors benefits
• regular inter-household transfers received from: family, e.g. alimony, child/parental support
• regular inter-household transfers received from: regular inheritances or trusts

The following receipts are collected using the last month as the reference period:

• employee income in-kind provided free or subsidized: housing
• employee income in-kind provided free or subsidized: meals
• employee income in-kind provided free or subsidized: car/transportation
• employee income in-kind provided free or subsidized: other goods or services
• services from owner-occupied dwellings
• interest received
• rents (payment received for un-produced assets e.g. land)
• regular pensions/annuities from schemes to which employee does not contribute
• retirement pensions from compulsory social security schemes
• old age benefits
• other pensions
• invalidity benefits
• survivors benefits

The following receipts are collected using the last 12 months as the reference period:

• dividends
• rentals (payment received for produced assets e.g. house) , gross of expenses
• food subsidies
• regular inter-household transfers received from: regular inheritances or trusts

The following receipts are collected using the 'last payment' and 'period covered':

• wages and salaries
• remuneration for time not worked, e.g. leave pay
• regular inter-household transfers received from: family, e.g. alimony, child/parental support

Income data were collected separately for each person receiving income. Components of income for an individual were collected directly from the individual. Negative values (business losses) were excluded when computing self-employment income.

6. Expenditure data

Data collection method:

Diaries are not used to collect expenditure data.

Interviews are used to collect expenditure data with the respondent completing the interview by recall only.

Data for the following expenditure items are collected by referring:²

• to expenditures in last one month:
  • food
  • other household non-durable goods
  • households services
  • personal services

• to expenditures in last 3 months:
  • clothing, footwear

• to expenditures in last 12 months:
  • other personal non-durable goods
  • housing
  • other durable goods

The following types of expenditure items are classified as 'Household consumption expenditure':

• non-durable goods purchased
• durable goods purchased (except housing)
• services of owner-occupied housing
• income in-kind receipts of goods
• income in-kind receipts of services
• own produced non-durable goods
• in-kind goods received from other households
• out of pocket health expenditure
• out of pocket education expenditures , gross of refunds
• out of pocket transport expenditures , gross of refunds
• housing maintenance, minor repairs
• regular cash payments to others outside the household
• valuables

The following types of expenditure items are classified as 'Non-consumption household expenditure':

• major repairs, conversions and extensions to owner-occupied housing
• interest payments (excluding mortgage interest payments)
• financial services (including fees for financial advice, brokerage fees)
• gambling expenditure

The following types of expenditure items are excluded due to measurement problems:

• purchase price of owner-occupied housing
• mortgage repayments, including interest
• own-produced durable goods
• own-produced services
• services from durables owned (except housing)
• in-kind services received from other households
• social transfers in-kind of goods and services from government and non-profit institutions serving households
• non-life insurance premiums (e.g. vehicle, housing, other property, medical) , gross of claims
• life insurance premiums
• licences and fees (e.g. driver's licence, hunting licence, vehicle registration)
• non-regular cash payments to others outside the household
• purchase of gifts of goods and services given to others outside the household
• second hand goods purchased
• expenditure abroad
• compulsory transfers to governments (e.g. contributions to government old age and disability insurance program, taxes)
• investment-related expenditures (e.g. purchase of shares/stocks)
• occupational expenditures
• other business-related expenditures
• others

The following types of expenditure items are collected on an 'acquisitions' basis:

• non-durable goods purchased
• durable goods purchased (except housing)
• services of owner-occupied housing
• major repairs, conversions and extensions to owner-occupied housing
• income in-kind receipts of goods
• income in-kind receipts of services
• own produced non-durable goods
• in-kind goods received from other households
• interest payments (excluding mortgage interest payments)
• financial services (including fees for financial advice, brokerage fees)
• gambling expenditure
• out of pocket health expenditure
• out of pocket education expenditures , gross of refunds
• out of pocket transport expenditures , gross of refunds
• housing maintenance, minor repairs
• regular cash payments to others outside the household
• valuables

Classification: A national classification that is not consistent with COICOP is used for classifying expenditure and has 1 separate categories at the finest level.

7. Other Data Collection Issues

The following other topics are covered:

• demographic characteristics
• education attainment of members
• employment status of members
• occupation of members
• ownership of selected durable goods
• housing characteristics

Households are not requested to indicate whether durable goods are new or second-hand when their acquisition is recorded.

Non-response: There is no substitution for non-response, whether by non-contact or by refusal.

Reporting errors are reduced using the following measures:

• adequate cues or props for prompting
• quality control

DATA PROCESSING, ANALYSIS AND DISSEMINATION

Answers are not pre-coded on data collection forms, but are coded by office staff.

Extreme values are amended. In-kind receipts and consumption of own production are included in the estimates. In-kind receipts are valued using: the respondent's estimate. Consumption of own production is valued using: the respondent's estimate.

Treatment of owner-occupied housing: Values of owner-occupied housing are not included in the total income/expenditure estimates.

Treatment of selected groups/values in analysis: Some households/units are excluded from analysis because of incomplete response. Missing values are imputed only on some occasions . Supplementary sources are not used to adjust estimates for under- or over-reporting. No groups are excluded from data analysis.

Weighting:
Weighting factors are used to adjust for:

• sampling
• non-response
• bench-marking , census

Sampling errors: Sampling errors are computed for all aggregates and these sampling errors are available on request.

Tabulation and Analysis: Statistics are presented showing averages per year and statistics are analysed and tabulated for households and for individuals separately.

The following classifications are used for tabulation and analysis of income statistics:

• age of reference person or head of household
• sex of reference person or head of household
• occupation of reference person or head of household
• income percentiles
• absolute income groups
• principal source of household income
• expenditure percentiles
• household size
• structure of household

The following classifications are used for tabulation and analysis of expenditure statistics:

• age of reference person or head of household
• sex of reference person or head of household
• occupation of reference person or head of household
• income percentiles
• absolute income groups
• principal source of household income
• expenditure percentiles
• household size
• structure of household

Documentation and Dissemination:

Published methodological information: Fichas metodológicas (2001), Página web del I.N.E.

Additional statistics (or special tables on request) are available for public use, free of charge.

Separate tables are published for the following special population groups: