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
MDG 1: Eradicate extreme poverty &hunger
Halve income poverty
Proportion of population < $1
(PPP) a day

Poverty gap ratio

Share of poorest quintile in
national consumption 
Halve hunger
Prevalence of under-weight
children under 5 yrs of age 
% of population below minimum
dietary energy consumption 
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,. 2002. “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. 126.
World Bank (2000). “Nicaragua: Ex-Post Impact
Evaluation of the Emergency Social Investment Fund
(FISE)”, Report No. 20400-NI, Washington D.C.
LSMS Web Site: http:/www.worldbank.org/lsms
Questions or comments? Write us at
LSMS@worldbank.org