Degrees of Satisfaction in the Different Fields {short description of image}{short description of image}
The distribution of households based on the scores of indices in the four fields reveals the presence of certain features that do not correspond to those characterizing the distribution of households by degrees of satisfaction according to the Living Conditions Index. Such disparities can be expected, given the variation in the needs to be satisfied, which are influenced by different factors over different time horizons.

Income and related indicators are more sensitive to short-term fluctuations, whereas housing specifications and ownership of durable goods are more stable over time. Improvements in education indicators for households and individuals depend on the availability of education services, on the one hand, and the efforts made by the people themselves, on the other, and their cumulative effects take a number of years to be felt. In contrast, the indicator relating to water and sewerage is considered to be virtually the responsibility of the public sector, with its effects felt immediately following the completion of the rehabilitation of the infrastructure.

Analysis of the results of the Population and Housing Survey indicates that the mean score differs as between the four fields examined (Table 11). The same is true of the standard deviation, which expresses the degree of dispersion (or concentration) of household scores around the mean; the more disparate the living conditions in the field are, the higher would be the value of the standard deviation.

The arithmetic mean is highest for the housing index (1.20), followed by the indices for water and sewerage and for education (1.10 each), with the lowest index (1.02) belonging to the income-related indicators. The standard deviation is highest in the case of the education index (0.45) - reflecting a higher degree of dispersion in the level of education among households - followed by the income-related indicators (0.36) and housing (0.34). The standard deviation is lowest (0.25) in the field of water and sewerage, indicating that the satisfaction of needs takes place at closer levels.

Table 11. Living Conditions Index: arithmetic mean score and standard
Field Mean score Standard deviation
Housing 1.20 0.34
Water and sewerage 1.10 0.25
Education 1.10 0.45
Income-related indicators 1.02 0.36
Living Conditions Index 1.10 0.23


1. Distribution characteristics according to the housing index

According to the housing index, households enjoying a high degree of satisfaction constitute the largest share (47.6 percent), compared to 26.5 percent for households with intermediate satisfaction, and 25.9 percent for those having a low degree of satisfaction. This implies that the satisfaction of the need for housing takes place at a higher level compared to the satisfaction of other needs (Chart 3).

Chart 3. Distribution of households according to the degree of satisfaction of basic needs in the field of housing (Percent)
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2. Distribution characteristics according to the water and sewerage index
Regarding the satisfaction of the need for water and sewerage, the study shows that 65.9 percent of households have an intermediate degree of satisfaction, compared to 15.5 percent and 18.6 percent, respectively, for the low and high degrees of satisfaction. This concentration in the intermediate category reflects the similarity in the situation of the majority of Lebanese households with respect to being connected to the water and sewerage network. These services are mainly provided by the public sector and are, therefore, less likely to be influenced by differences in economic means and socio-economic standing. It is also worth noting in this connection that households with higher satisfaction outnumber those having a low degree of satisfaction.

The main difference between the distribution based on the index for water and sewerage and that for housing is manifested in the high category being the most important grouping according to the housing index, while the main concentration with respect to water and sewerage is in the intermediate category (Chart 4). The mean score for the water and sewerage index is 1.10, and the standard deviation is 0.25; which means that households cluster around the mean.

Chart 4. Distribution of households according to the degree of satisfaction of basic needs in the water and sewerage field (Percent)
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3. Distribution characteristics according to the education index
With respect to the education index, 32.8 percent of Lebanese households are considered to have a low degree of satisfaction, compared to 31.3 percent for intermediate satisfaction and 35.9 percent for the high degree; the three categories being close in terms of their relative importance. It is also to be noted that the percentage of households that fall below the threshold with respect to education is twice that based on the index for water and sewerage, and exceeds by 7 percentage points the corresponding share according to the housing index.

Chart 5 displays a significant concentration of observations at both ends of the distribution. The first indicates a high percentage of households that include a large number of illiterate and individuals having below elementary education (16.6 percent), while the second concentration reflects the fact that an important proportion of households have a secondary or university education (19.1 percent). The mean score for the education index is 1.10, i.e. equivalent to the mean for the water and sewerage index. However, the standard deviation for the education index is higher, reflecting a concentration of households at both ends of the distribution.

Chart 5. Distribution of households according to the degree of satisfaction of basic needs in the field of education (Percent)
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4. Distribution characteristics according to the index of income-related indicators

The income-related indicators index consists of three components with the only link between them being that they indirectly express the level of household income and, hence, its ability to satisfy basic needs. According to this index, 42.8 percent of resident households fall within the low satisfaction category, i.e. below the threshold, compared to 32.4 percent in the intermediate category, and 24.8 percent within the high satisfaction category. This ordering is the opposite of that based on the housing index where the low category is the largest, followed by the intermediate and the high categories, respectively. This means that deprivation, expressed in terms of income-related indicators, is more acute than that which is expressed by criteria related to the satisfaction of the needs for housing, education, and water and sewerage services (Chart 6). The mean score for the index of income-related indicators is the lowest (1.02) and the standard deviation is 0.36, which is close to the standard deviation for the housing index. However, the mean score of the latter is higher (1.20), indicating a concentration of households below the mean.

Chart 6. Distribution of households according to the degree of satisfaction of basic needs in the field of "income-related indicators" (Percent)
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5. General conclusions regarding the interrelationship between the components of the Living Conditions Index

It can be concluded from the above review that Lebanese households are better able to satisfy their needs for housing and for water and sewerage than for education. Those needs that depend on household income appear to exert less influence on living conditions than other elements such as housing specifications and the availability of basic services. Income is subject to variation in the short run, being directly sensitive and quick to react to political and economic factors that adversely impact on economic performance and social conditions (the war and inflation and their implications for the collapse of incomes; the slowdown of the rate of economic growth as a result of the Israeli aggression in April 1996; regional tensions; and the implications of the persistent budget deficit and the policy of monetary stabilization on the level of wages and social expenditure). In contrast, the other elements are subject to longer-term influences, and reflect assets and resources accumulated by households, or services provided by the public sector.

The second conclusion concerns the field of education, where it appears that the level of satisfaction is lower than in the case of housing, and water and sewerage . This implies that the negative consequences of the war on past accumulation in this field, the continuing escalation in the cost of education and the diminishing role of public education, have rendered the satisfaction of the need for education in Lebanon less than socially envisioned and desirable; and less than what is required for reconstruction and economic growth. This is in contrast to the situation in housing (where the extension of the law on rent has provided certain protection to old tenants), and to the situation in the field of water and sewerage (where the deterioration affected the number of hours of supply and the quality of the service provided, without entailing their complete interruption). It is also worth noting that the minimum level of education demanded is constantly and rapidly evolving in response to scientific and technological changes, and the needs of the labor market; which means a constant tendency for the threshold to rise.

It is worth noting here the positive connection between government intervention and the lowering of disparities in the degree of satisfaction of basic needs in the fields of housing and of water and sewerage, whether the intervention is of a legal nature (extension of the rent law), or in the form of direct provision of services (water and sewerage networks). Similarly, it is possible to link the acute disparities in the field of education to the diminishing role of public education, and the growing involvement of the private sector. The relation between government intervention and the income-related indicators, however, is more complicated and its analysis requires more accurate and comprehensive data than could be obtained from the Population and Housing Survey . In general, then, it can be concluded that government intervention, through legislation or direct provision of services, has had a positive impact on reducing disparities and in meeting the basic needs of Lebanese citizens.

On the other hand, it appears that income and education are the fields most closely correlated with the living conditions index, and exert the greatest influence on it. This implies that improving the situation of households and citizens in these two fields is likely to entail an improvement in their overall living conditions to a greater extent than would improvements in the indicators of the other two fields. The linear correlation coefficient is 0.78 between the education index and the overall living conditions index, and 0.70 between the index of income-related indicators and the living conditions index; while it stands at 0.65 with respect to the housing index, and 0.50 in the case of the water and sewerage index (Table 12). As for inter-field correlation, it appears to be strongest between the indices of education and the income-related indicators, amounting to 0.39, compared with 0.27 and 0.14 between the income-related indicators and the housing index, and that for water and sewerage, respectively.

Table 12. Correlation between the living conditions index and component fields

Field Housing Water and Sewerage Education Income-related indicators Living Conditions Index
Housing 1.00 0.21 0.27 0.27 0.65
Water and sewerage 0.21 1.00 0.20 0.14 0.50
Education 0.27 0.20 1.00 0.39 0.78
Income-related indicator 0.27 0.14 0.39 1.00 0.70
Living Conditions Index 0.65 0.50 0.78 0.70 1.00


In effect, this means that a household could belong to a low degree of satisfaction (or any other degree) in one of the fields, without necessarily belonging to the same degree with respect to the overall living conditions index. It also means that the probability of a household falling within a certain degree of satisfaction with respect to the index of income or education to belong to the same degree in the living conditions index classification is higher than it is with respect to the index of housing or that of water and sewerage. This is true of households living below the threshold, which constitute 32.1 percent of total households in Lebanon. Thus, 25.4 percent of households fall below the threshold according to both the income-related indicators and the general index, and 23 percent of households are below the threshold according to both the index of education and the general index. The percentages become smaller when it comes to cross comparisons involving the housing index and that of water and sewerage with the living conditions index together (Tables 13 and 14).

Table 13. Households falling below the threshold according to the living conditions index and the four field- indices (percent of total households in Lebanon)
Below the threshold according to the index of:
Below the threshold according to the Living Condition Index Housing Water and sewerage Education Income-related indicators
32.1 17.6 9.6 23.0 25.4


Table 14. Cross classification of degrees of satisfaction according to the Living Conditions Index and the four-field indices

(3-level classification; percent of total households in Lebanon)
Degrees of satisfaction according to the Living Degrees of satisfaction by field
Low Intermediate High Total
Conditions Index Housing
Low 17.6 8.4 6.1 32.1
Intermediate 7.8 14.9 18.9 41.6
High 0.6 3.2 22.5 26.4
Total 25.9 26.5 47.5 100
Water and sewerage
Low 9.6 20.7 1.8 32.1
Intermediate 4.6 30.5 6.4 41.6
High 1.2 14.8 10.4 26.4
Total 15.5 65.9 18.6 100
Education
Low 23.0 7.8 1.3 32.1
Intermediate 9.3 19.3 13.0 41.6
High 0.6 4.2 21.6 26.4
Total 32.8 31.3 35.9 100
Income-related indicators
Low 25.4 5.6 1.0 32.1
Intermediate 15.7 18.7 7.1 41.6
High 1.7 8.1 16.6 26.4
Total 42.8 32.4 24.8 100