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МОНГОЛЫН ХҮН АМЫН СЭТГҮҮЛ Дугаар (367) 20, 2011

65

Nonetheless, in most developing countries

limited or nonexistent housing rental markets

pose a difficult challenge for the estimation

and inclusion of this component in the

consumption aggregate. As in the case of

durable goods, the objective is to try to

measure the flow of services received by

the household from occupying its dwelling.

Finally, for the consumption aggregate, the

estimated imputed rents derived from the

self-reported or imputed property values were

used as estimates for the flow of services

from housing, except when actual rents were

available.

Mongolia shows remarkable seasonal and

spatial price differences, especially for food

items. Therefore, in order to properly measure

living standards, expenditure values need

to be corrected for such differences using

price indices. The household survey provides

information on budget shares for all items

but information on average prices paid by

the household only for food items. A Paasche

price index at the cluster level was constructed

combining information from the HSES and the

national consumer price index. Clusters are

comprised by 10 households in urban areas

and 8 households in rural areas. Households

within a cluster are likely to face similar prices

and have similar consumption patterns. The

Paasche price index for the primary sampling

unit

i

is obtained with the following formula:

1 1

1

0

− −

=

⎟⎟

⎜⎜

=

n

k

k

ik

ik

P

i

p

p w

p

where

k

is one of the

n

goods considered for

the index,

w

ik

is the budget share of good

k

in the primary

sampling unit

i

,

p

ik

is the median price of good

k

in the primary

sampling unit

i,

and

p

0k

is the national median price of good

k

.

Overall, the final price index considers both

food and non-food items for the temporal and

spatial adjustment.

The final step in constructing consumption

for the welfare indicator involves going from

a measure of standard of living defined at the

household level to another at the individual

level. Consumption data are collected typically

at the household level (usual exceptions are

health and education expenses), so computing

an individual welfare measure generally is

done by adjusting total household consumption

by the number of people in the household,

and assigning that value to each household

member. Common practice when doing this

is to assume that all members share an equal

fraction of household consumption. The

final step in constructing consumption for

the welfare indicator involves going from a

measure of standard of living defined at the

household level to another at the individual

level. Consumption data are collected typically

at the household level (usual exceptions are

health and education expenses), so computing

an individual welfare measure generally is

done by adjusting total household consumption

by the number of people in the household,

and assigning that value to each household

member. Common practice when doing this

is to assume that all members share an equal

fraction of household consumption.

Sampling design

The sampling frame of the HSES was

developed by the NSO based on population

figures for 2005 from local registration offices.

The design of the survey recognizes three

explicit strata: Ulaanbaatar-capital, aimag-

prefecture centers, and rural areas and small

towns/villages. The selection strategy was

different in each stratum: a two-stage process

in urban areas and a three-stage process in

rural areas. All 1,248 primary sampling units

or clusters were selected with probability

proportional to size and were randomly

allocated into the 12 months of survey

fieldwork. Thus the survey visited a random

sub-sample of 104 clusters each month. The

8 or 10 households were selected randomly

from the cluster and total sample of 11232

households was also allocated into the 12

months.

In order to obtain representative statistics for

each stratum and for the whole country with