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Mobile Opportunities: Poverty and Telephony Access in Latin America and the Caribbean Kim Mallalieu Innette Cambridge The University of the West Indies St. Augustine Trinidad and Tobago West Indies • LAC Regional Dialog on the Information Society, funded by the IDRC • Research and capacity building aimed at expanding the Information Society among the poor and disenfranchised in region • Comprises roughly 10 LAC researchers • 2007 research: BOP Mobile Opportunities 2007 Research • Mobile Opportunities: Poverty and Telephony Access in Latin America and the Caribbean • Field studies in 7 countries: – – – – Caribbean: Jamaica and Trinidad and Tobago Southern Cone: Argentina and Brazil Andean Region: Peru and Colombia Central America: Mexico • Country reports October 2007 • Regional report to follow Poverty Estimates Year Measure Indigence or “Food Poverty Line % Source 2004 Food basket (2400 cal) alone Adult equivalent / capita expenditure < US$31.43/ month 8.3% 2004 Poverty Reduction & Social Development Report (IADB) Year Measure Abs Poverty Line % Source 2004 Food basket (2400 cal) + non-food requirements based on expenditure of poorest 40 % of individuals on non-food items. Adult equivalent / 24% capita expenditure < US$59.77/ month 2004 Poverty Reduction & Social Development Report (IADB) Adult equivalent / 17% capita expenditure < US$103.80 / month 2007 T&T Poverty Reduction & Social Development Report (EU)* 2007 *Unpublished T&T Sampling Strategy - Size National Population[1] 1,262,366 Total BOP Population, percentage[2] 24% Total BOP Population, absolute, N 302,968 Margin of Error, e 5.00% Confidence Interval (%) 95.00 Level of Confidence, z 1.96 Sample Size[3] 384 No Response Factor (%) 10 Calculated Sample Size 422 Final Sample Size 522 [1]Source: CSO (2000) [2] Source: IADB (2004) using data derived from 1997/1998 Household Budgetary Survey [3] Calculated using [((N(z/2e)2)/(N-1+ (z/2e)2)] Sample Distribution: Geographic Regions Area Urban / Rural % of Poor Population % of Sample No of Resp’ts Port of Spain Urban 2.6 13 13 San Fernando Urban 2.7 14 14 St. George U/R 32.9 165 98 Caroni U/R 7.6 38 94 Nariva / Mayaro Rural 4.9 25 22 St. Andrew / St. David U/R 9.1 46 101 20.6 103 88 15.3 77 86 4.3 22 21 100 503 537 Island T’dad Victoria St. Patrick Tobago Tobago TOTAL U/R U/R U/R Sample: Pockets of Poverty Poverty Measure Vague • No Poverty Map • Respondents reluctant to provide income info BOP communities 'pockets of poverty', estimated from: • The Electoral List provided by the Elections and Boundaries Commission and the version utilised was the list as of first quarter 2007 • CSO 2000 Population and Housing Census data as well as the CSO – Geographic Information Section – Map of Population Distribution of communities by Municipal Corporations. • Contractor’s rich experience of socio-economic characteristics of communities Possible Proxy - Water • Formulating poverty measure complex • No universally accepted computation model exists • Models vary based on attempts to capture cultural specificities • DIRSI Survey does not adequately capture – variables used in past studies and existing measures of poverty – Income values and sources • Water used as single proxy because – DIRSI Survey does not adequately capture housing (materials, overcrowding, sanitation, amenities) – Housing is a compound measure • All housing parameters (amenities; materials ambiguous) Rationale: Access to water • Used internationally as a reliable proxy for living standards • In T&T, “those with higher incomes were more likely to have a piped-in water supply” (Henry et al. in Suarez et al. 2006: 82) • 1992 SLC revealed that residents in Quintile V were more than twice as likely to have piped water into their homes than those in Quintile 1 (Henry et al. in Suarez et al. 2006: 82) Use of Water as a Proxy • Population without sustainable access to improved water sources include those who access water from “… vendors, bottled water, tanker trucks and unprotected wells and springs” (UNDP Human Development Report 1996:410) • Population with sustainable access to improved water sources include those who access it via “… household connections, public standpipes, boreholes, protected dug well, protected springs and rain water collection.” (UNDP Human Development Report 1996:410) Valid Percent Actual Sample by Proxy (Water) 60.0 50.0 40.0 30.0 20.0 10.0 0.0 48.4 22.2 11.2 10.0 3.1 Piped water inside the home? Piped water outside the home? Piped water Barrel water? Water from a with stand well, river, pipe or lake, stream hydrant? or other such source? 5.2 Other Actual Sample by Proxy Walls Valid Percent 60.0 48.4 50.0 42.2 40.0 30.0 20.0 10.0 2.5 6.0 0.8 0.0 Discarded materials Cardboard, Reeds, bamboo, Wood or adobe metal or palm leaves, asbestos sheets and/or mud Brick, block, stone, gravel, cement or concrete Prefer: Weighted SEC Measure e.g. using Basic Needs Index Item Response Score 1) Wall type Brick/Block/Concrete Wood and Concrete Wood Wattle/Tapia/makeshift 3 2 1 0 2) Toilet type WC to sewer/cess pit Pit latrine/None 1 0 3) Light Source Electricity or gas Kerosene /none 1 0 4) Possessions*** TV/Telephone/Video/Stove/Fridge/ Washing machine Car/pick-up 0.5 each 1 Basic Needs Index Cont. Item Response Score 5) No persons per bedroom <1 1-1.99 2-3 3.01 or more 3 2 1 0 6) Education (summary) of head Tertiary/university Secondary complete Secondary incomplete Primary complete Primary incomplete None 5 4 3 2 1 0 7) No employed to total 1 number of persons x<1, x>0.49 x<0.5, x>0.25 x<.25 3 2 1 0 Maximum Score 20 Actual Sample Distribution by Age Distribution of Respondents 2.8% 13-17 18-25 11.6% 14.9% 26-35 11.2% 36-45 21.6% 15.3% 22.6% 46-55 56-65 66+ Actual Sample Distribution by Gender Gender Distribution of Respondents Male 40 52% 48% Female Chart 4: Gender Distribution of Respondents Actual Sample by Education Valid Percent 60.0 53.2 50.0 40.0 28.2 30.0 20.0 10.0 8.6 6.3 1.2 1.0 0.0 1.5 0.0 None Preschool Primary Secondary Vocational school University or Master's or Professional PhD Degree Doesn't know Valid Percent Actual Sample by Occupation 90.0 80.0 70.0 60.0 50.0 40.0 30.0 20.0 10.0 0.0 80.0 5.0 Helped with a family business? 6.8 1.8 1.8 4.5 Helped by In exchange Made Sold goods for pay /products? something to working in the fields or carried out sell? another type breeding of activity? livestock? Didn't work last week Valid Percent Actual Sample by Occupation 70.0 60.0 50.0 40.0 30.0 20.0 10.0 0.0 66.0 24.2 Employee Self employed 2.3 2.1 2.5 2.9 Worker on commission Unpaid worker in family business or on the family farm Employer Other Actual Sample by Household Size % No. of Family Members in Household 20 18 16 14 12 10 8 6 4 2 0 0 1 2 3 4 5 6 7 8 No. of Family Members 9 10 11 12 13 14 Actual Sample by Urban / Rural Urban/Rural Distribution of Respondents /Rural Distribution of Respondents 33% 67% 33% Urban Rural Fieldwork Notes • Questionnaire too long • Little data revealed on income and source • Different response rates for data on different sections Key Preliminary Findings • Mobile: most widespread form of telecommunications access within the BOP communities in Trinidad and Tobago, both urban and rural • Mobiles mostly used as a social tool and serve to maintain contact within the social frameworks incorporating the members of the BOP communities. • Prepaid packages most prevalent on account of better control of expenditures over post-paid scheme Thank You Food Basket (2004) - Content • Counter Flour • Parboiled Rice • Macaroni • Green Bananas • Yam • Irish Potatoes • Brown Sugar • Split Peas • Chick Peas • Tomato Ketchup • Calaloo Bush • Melongene • Pumpkin • Orange • Ripe Bananas • Grapefruit • Canned Grapefruit Juice • Chicken • Beef • Powdered Milk • Cheese • Corned Beef • Codfish • Eggs • Pork • Oil • Margarine Food Basket - Composition Water (G) = 156.2 Riboflavin (Mg) = 1.28 Energy (Kcal) = 2400.0 Niacin (Mg) = 16.6 Protein (G) = 76.5 Vitamin C (Mg) = 132.9 Fat (G) = 63.1 Total Cost ($) = 7.62 Carbohydrate (G) = 386.0 Total Amount (Lb) = 2.86 Fibre (G) = 5.5 Total Amount (Kg) = 1.30 Calcium (Mg) = 624.0 Iron (Mg) = 20.2 Vitamin A (R.E.) = 528.5 Thiamin (Mg) = 1.9 Source: Generated from CFNI Programme Integrated T&T Poverty Measures • 1992 Survey of Living Conditions (SLC) used known variables which correlate to causes of poverty (Report on SLC: World Bank 1995:2): • • • • • • Earned income and expenditure Access to potable water Access to sanitary services (flush toilets and septic tanks) Education (attendance of minors and level attained by adults) Access to and extent of use of health services Housing – – – – – Adequacy of provision Type of tenancy Land tenancy Persons per room Extent of overcrowding • Household Budgetary Survey (HBS 1997-98) • Additionally used household expenditure levels Limitations of HBS and SLC • As seen with the 1975,1981/82 and 1998 Household budgetary Surveys conducted by the CSO “households tended to show expenditure over and above their incomes…” (MOSD 1996:12) • Poverty line measure does not allow for consideration of the role of social factors • Poverty is more than just about not attaining the minimum needed for survival