The Living Standards Measure or LSM is a marketing and research tool ( same as social economic class: SEC but more refine ) used in South Africa to classify standard of living and disposable income. It segments the population into ten deciles based on their relative means, with LSM 1 being the decile with the least means and 10 being the decile with the greatest means. It does this by ranking people based on ownership of the components of a standard basket of goods (which varies over time). For instance, those people who owned a television set would rank higher in the LSM than those who did not.[1]
In effect, the LSM is an income inequality metric, despite specifically excluding income as one of the tested metric.[2] Its components are reflective of the fact that South Africa has a high Gini coefficient.[3]
Current variables
The current (2015) basket of variables used to calculate LSM is:[citation needed]
living, standards, measure, this, article, needs, additional, citations, verification, please, help, improve, this, article, adding, citations, reliable, sources, unsourced, material, challenged, removed, find, sources, news, newspapers, books, scholar, jstor,. This article needs additional citations for verification Please help improve this article by adding citations to reliable sources Unsourced material may be challenged and removed Find sources Living Standards Measure news newspapers books scholar JSTOR May 2017 Learn how and when to remove this template message The Living Standards Measure or LSM is a marketing and research tool same as social economic class SEC but more refine used in South Africa to classify standard of living and disposable income It segments the population into ten deciles based on their relative means with LSM 1 being the decile with the least means and 10 being the decile with the greatest means It does this by ranking people based on ownership of the components of a standard basket of goods which varies over time For instance those people who owned a television set would rank higher in the LSM than those who did not 1 In effect the LSM is an income inequality metric despite specifically excluding income as one of the tested metric 2 Its components are reflective of the fact that South Africa has a high Gini coefficient 3 Current variables EditThe current 2015 basket of variables used to calculate LSM is citation needed Metropolitan dweller 250 000 Living in a non urban area House cluster house town house Tap water in house on plot Flush toilet inside house Hot running water Built in kitchen sink No domestic workers or gardeners Home security service 2 cellphones in household 3 or more cellphones in household Zero or one radio set in household Air conditioner excl fans Television set s Swimming pool DVD player Blu Ray player Refrigerator or combined fridge freezer Electric stove Microwave oven Deep freezer free standing Washing machine Tumble dryer Dishwasher PayTV M net DSTV TopTV subscription Home theatre system Vacuum cleaner Motor vehicle in household Computer desktop laptop Land line telephone excl cellphone References Edit Living Standards Measure South African Audience Research Foundation South African Audience Research Foundation Retrieved 20 December 2016 Ruch Werner July 2014 Measuring poverty in SA PDF The Fieldworker Vol 5 Stats SA Retrieved 20 December 2016 South Africa Overview The World Bank The World Bank Retrieved 20 December 2016 External links EditLSM Calculator This South Africa related article is a stub You can help Wikipedia by expanding it vte This article about wealth income or other related issues is a stub You can help Wikipedia by expanding it vte Retrieved from https en wikipedia org w index php title Living Standards Measure amp oldid 1147788438, wikipedia, wiki, book, books, library,
