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The 1995/1996 Household Income, Expenditure - (PDF, 101 mb ...

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old, and very young, household heads. Poverty increases near-monotonically<br />

with the nu<strong>mb</strong>er of children in the household, and decreases with the nu<strong>mb</strong>er<br />

of household earners. Overall, the incidence of poverty has risen from 21% to<br />

44%; while the deterioration is supported by other sources, the magnitude of<br />

the overall effect is sensitive to the cost of the diet and to the fact that more<br />

households from the rural areas are represented in the latter sample.<br />

Human capital - Official (un)employment figures are measured with error.<br />

Being young, married, and having lower household income levels makes an<br />

employee more likely to be a wage earner.<br />

Standard human capital regressions show that wages are higher for married<br />

males with higher educations. <strong>The</strong> self-employed with employees are<br />

presumably the lowest paid category, but measurement error appears obvious.<br />

Employees find the highest paid jobs in primary industrial activities.<br />

Workers' remuneration continues to be discounted.<br />

<strong>The</strong> Consumer Price Index - the mismeasurement of inflation is the greatest<br />

barrier to evaluating Egyptian levels of living. This chapter is a blueprint<br />

for fixing the CP1.<br />

Housing - A synopsis of rent control, and present-day costs of housing<br />

amenities. In 1990/1991, hedonic quality adjustment for maintenance, repair<br />

and improvement removes all the benefits of rent control. In <strong>1995</strong>/<strong>1996</strong> the<br />

free market/controlled market comparison is impossible because of the scarcity<br />

of contracts, but hedonic analysis is still possible: renters perceive themselves<br />

better off than owners.<br />

Education - <strong>The</strong> implied literacy rate is approximately 60%.<br />

Despite the beneficial effects of education, in higher household income and<br />

expenditure levels, and especially in lowering fertility, girls education is not<br />

being emphasized. This is shown in female-to-male enrollment ratios, and in<br />

the probability of being enrolled. <strong>The</strong> reason for low enrollment probability<br />

is linked to higher household expenditures (unexpected), a lower education<br />

level of the head of the household (expected), and the geographic location of<br />

households (lower probabilities of being enrolled if the household is from<br />

Upper Rural Egypt, or the Frontier governorates).<br />

Education expenditures and budget shares have increased over time.<br />

Medical - <strong>Household</strong> size is negatively associated with level and per capita<br />

medical expenditures. Over time, shares of medical goods and services have<br />

risen in rural areas but declined in urban areas.<br />

<strong>The</strong> Use of IllECS Data - it is difficult to argue against full disclosure of<br />

economic information.<br />

1.4

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