Spatial Microsimulation of Residential and Employment Location Choices in Metro Manila: Towards a...
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Transcript of Spatial Microsimulation of Residential and Employment Location Choices in Metro Manila: Towards a...
Spatial Microsimulation of Residential and Employment Location
Choices in Metro Manila:Towards a Spatial Planning and
Decision Support Tool
Noriel Christopher C. TIGLAO
CUPUM 2005University College London (UCL)
29 June - 1 July 2005
National College of Public Administration and Governance
University of the Philippines
Morito TSUTSUMI
Department of Planning and Policy Science
University of Tsukuba
2
Presentation Outline
• Background
• Imperatives for Urban Modeling
• Development of Spatial Microsimulation Model for Manila (InformalSim)
• Location Choice Extensions
• Implications for Spatial Planning and Policy Analysis
• Insights into the Future
3
Background
• Development of urban models arises from the need for…– Informed policy recommendations from planners– Informed decisions by policymakers
• Continuous development and application in advanced countries
• Little work in developing countries due to…Lack of reliable dataComplex inter-relationships in the urban system
4
Urban Modeling Centers in the World
Source: Wegener (1994)
5
Imperatives for Urban Models in Developing Countries
• Needs for ability to forecast future urban growth, land use changes
• Needs for ability to forecast the possible impacts of urban and environmental (including social) policies
• However, developing countries exhibit…– Complex social organizations and individual
behavior– Presence of many market imperfections
6
Urban Realities
7
Urban Realities
8
Modeling Issues in Developing Countries
• Explosive population growth– Complex and dynamic relationships
• Presence of severe economic inequality among individuals and households– Rethinking representative households
• Large informal sector
Serious problems in data availability and the range of analysis that can be done
9
Research Objectives
• Develop household microdata for the City of Manila in 1990– Spatial microsimulation approach– Address problems in lack of data– Tackle estimation and validation issues
• Explore residential and employment location choice behavior of households– Develop insights on spatial choice behavior
10
Spatial Microsimulation Approach
• Directly concerned with microunits such as persons, households, or firms
• Models lifecycle by the use of conditional probabilities
• Spatial microsimulation is increasingly applied in the quantitative analysis of economic and social policy problems
• One major objective in spatial microsimulation is the estimation of microdata
11
Example of Spatial Microsimulation Process (Clarke et. al)
Steps
1. Age,sex, and marital status (M) of hh head
2. Probability of hh head of given age, sex, and M being an owner-occupier
3. Random number (computer generated)
4. Tenure assigned to hh on the basis of random sampling
5. Next hh (keep repeating until a tenure type has been allocated to every hh)
Head of household (hh)
1st
Age: 27Sex: maleM: married
2nd 3rd
0.7
0.542
owner-occupied
Age: 32Sex: maleM: married
0.7
0.823
rented
Age: 87Sex: femaleM: divorced
0.54
0.794
rented
Steps
1. Age,sex, and marital status (M) of hh head
2. Probability of hh head of given age, sex, and M being an owner-occupier
3. Random number (computer generated)
4. Tenure assigned to hh on the basis of random sampling
5. Next hh (keep repeating until a tenure type has been allocated to every hh)
Head of household (hh)
1st
Age: 27Sex: maleM: married
2nd 3rd
0.7
0.542
owner-occupied
Age: 32Sex: maleM: married
0.7
0.823
rented
Age: 87Sex: femaleM: divorced
0.54
0.794
rented
12
Advantages of Spatial Microsimulation Modeling
• Provides a powerful framework in overcoming data and complex modeling problems– Data augmentation– Data modeling
• Capable of building reliable disaggregate data sets at finer geographic and attribute details– Integration with GIS– Visualization
13
Application of Microsimulation to Urban and Regional Modeling
• Wegener (1985) used Monte Carlo simulation approach to model Dortmund housing market
• Clarke (1996) applies spatial microsimulation in social policy simulation and analysis– Tax Benefit Incidence– Housing
• Waddell, et al.(1998) applies microsimulation to landuse-transport modeling in UrbanSim
14
Spatial Microsimulation of Informal Households in Metro Manila
• InformalSim was developed for Manila City– 54 traffic zones
– 900 barangays
– 1.59 million pop. in 1990 (308,874 households)
Cities/ Municipalities
ManilaTraffic Zones
BarangaysCities/ Municipalities
ManilaTraffic Zones
Barangays
15
Existing Data Sets Used by InformalSim
Zone
System
Data Set Description/ Coverage
City 1997 Family Income and Expenditure Survey (FIES)
• Household demographics, some housing variables
• Detailed household incomes and expenditures
• 4,030 samples for Metro Manila
Traffic Zone 1996 Metro Manila Urban Transportation Integration Study (MMUTIS)
• Selected household demographics• Member/ household income• 50,000 samples for Metro Manila
Barangay 1990 Census of Population and Housing (CPH)
• Detailed household and housing characteristics
• No income/employment variable• Non-response on housing variables• All households in 1990 (1,567,665
households)
GIS 1996 MMUTIS Land Use GIS
1997 Building Footprint Data
• Urban land use zoning map for entire Metro Manila
• Building footprints for most cities
16
Object Representation of Household Microdata
BaselineCharacteristics
UnobservedCharacteristics
Target of Microsimulation
ComputationalObjects/ Models
MEMBERVariablesProvince-IDDistrict-IDBarangay-IDHousehold-IDMember-IDRelation to headAgeSexMarital statusEducation(Occupation)(Employment sector)(Income)MethodsGetEconomicActivityGetOccupationGetEmploymentSectorGetIncome…
HOUSEHOLDVariablesProvince-IDDistrict-IDBarangay-IDHousehold-IDHousehold sizeAge of headSex of headMarital status of headEducation of head(Economic Activity of head)(Occupation of head)(Employment sector of head)Members [Vector]Building typeRoof typeWall typeState of repairYear builtHousehold incomeHouse ownership
Land ownershipMethodsGetEconomicActivityofHeadGetOccupationofHeadGetEmploymentSectorofHeadGetIncomeofHead…
17
Estimate household income based on characteristics of
household head
Assign employment sector of household head by Monte
Carlo sampling
Assign occupation of household head by Monte
Carlo sampling
InformalSim StructureInitialize base household using
1990 CPH data (age of head, sex of head,
marital status of head, education of head and household size)
Compute occupation probabilities from
Occupation Choice Model
Compute employmentchoice probabilities from
Employment Choice Model
Bias-adjusted household income function based on
employment status
Bias-adjusted housing value function based on
tenure statusEstimate housing tenure and
housing value
Compute economic activity rate of household head
from MMUTIS
18
InformalSim Modules
1) Economic Activity2) Occupational Choice3) Employment Sector Choice4) Employment Status5) Household Income6) Permanent Income7) Housing Tenure8) Housing Value9) Inequality Measure10) Mapping and Visualization
19
Simulated Mean Household
• Clustering of zones according to mean household income
Low
Low
High
MiddleHigh
Low
20
Simulated Housing Values and Housing Tenure
• Housing values correspond to higher incomes, and consequently lower percentage of informal housing
21
Simulated Informal Employment
• Both low income and high income areas have high percentage of informal employment
22
Inequality Measures
• Low income areas tend to be more equal as characterized by lower Gini coefficient (more cohesive)
23
Validation of Microsimulation Results
Compilation of AvailableSecondary Data
Estimation of Mean Household Incomes
at the Traffic Zone Level
Estimation of Household Incomes at the Barangay
Level
Reliable Estimates of Mean Household Incomes
at Traffic Zones
Aggregate Household Incomes at Traffic Zones
Estimation of Household Characteristics
VALIDATION
STATISTICAL SMALL AREA ESTIMATION
SPATIAL MICROSIMULATION
24
Statistical Small Area Estimation• Sample surveys
– Intended to provide reliable estimators of totals or means for the population under a pre-specified domain
– Direct survey estimators, y=xi/n, may be appropriate when the number of samples is large
– Model-based estimators may provide more reliable estimates with few samples by using auxiliary data
• Model estimators: – yi correspond to samples and ei are sampling errors
• Use auxiliary data in a generalized regression framework ˆ T
i i i i iy z e x
ˆi i iy y e
25
Types of Small Area Estimation Models
i ~ IID N(0, b2)
~ known positive constants
~ IID N(0, e2)
i ~ IID N(0, b2)
• Unit-level Model (Battese et al., 1988)
i i i iy x z
i i i ijy x e
• Area-level Model (Fay and Herriot, 1979)
iz
ije
26
Small Area Estimation of Mean Household Income in Metro Manila
• Nested Error Regression Model
iju : random errors associated with household income
ijy : mean household income for zone j in city i
ijyi : i-th city effect
: random effects in zone j in city i ije
i : 1 to m cities
j : 1 to ni traffic zones
ijx : covariate for income in zone j in city i
,ij ij ij ij i ijy x u u e 2IID N (0, )i
2IID N (0, )ije
27
Selection of Spatial Covariates
Dependent variable: Log Mean Household Income
Independent variables: CAROWN - % of car-owning households (from MMUTIS) WORKER - % of individual engaged in gainful employment (from
CPH) DENSITY – persons per unit of area (from CPH) DWELLING – average area of individual dwelling units (from GIS)
INCOME DENSITY CAROWN WORKER DWELLING
INCOME 1.000 -0.244 0.809 0.447 0.715
DENSITY 1.000 -0.360 -0.383 -0.373
CAROWN 1.000 0.389 0.647
WORKER 1.000 0.586
DWELLING 1.000
Correlation matrix:
28
Calculation of Dwelling Unit Sizes using GIS
Urban land use zoning map Building footprint data
•Dwelling units may not be located on residential zones (eg. squatters on government or industrial lands)
•Judgment and knowledge of the area was used in selecting polygons into the database of the zone
• Automatic calculation under specified zone system
29
Validation of Microsimulation Results
Validation of Microsimulation ResultsEBLUP-CAROWN Benchmark
0
5000
10000
15000
20000
25000
30000
0 5000 10000 15000 20000 25000 30000
Estimated True Values
Sim
ula
ted
Va
lue
s
Validation of Microsimulation ResultsEBLUP-DWELLING Benchmark
0
5000
10000
15000
20000
25000
30000
0 5000 10000 15000 20000 25000 30000
Estimated True Values
Sim
ula
ted
Va
lue
s
Binondo
Ermita
Ermita
Benchmark values are computed Empirical Best Linear Unbiased Predictor (EBLUP) model using the following auxiliary variables:• car-ownership levels • mean dwelling unit sizes
30
Ground Truths
Smokey Mountain
Port Area, Tondo
Pandacan
Punta
31
Modeling Household Location Choices
• Bid-choice theory (Martinez 1992)
• Based on consumer surplus, defined as the willingness to pay for an alternative less the market price of that alternative
• Similar to UrbanSim
32
Modeling Household Location Choices (contd)
• The probability that a consumer h will choose lot i:
where
is the willingness of consumer h to pay for lot
is the market price of lot i
( )
| ( )
hi i
hj j
p
i h p
j
eP
e
hi hi iCS p
hi
ip
Consumer surplus
33
Modeling Household Location Choices (contd)
• Waddell (1998) provides an approach to deal with aggregation of alternatives to the zone since the model does not explicitly deal with elemental housing or lots as the level of choice
( ln )
| ( ln )
hi i
hj j
CS S
i h CS S
j
eP
e
34
Modeling Household Location Choices (contd)
Bid Price Functions
is the bid price of household h on dwelling i
are the dwelling attributes
are zone or neighborhood attributes
are parameters to be estimated
hi0hi j j k kBP X Z
jX
kZ
35
Estimation of Bid Functions
Income Household Size Tenure Under P 9,000 Less than 5 Formal P 9,000 – P 14,999 5 or more Informal P 15,000 – P 29,999 P 30,000 or more
16 household types
36
Household Price VariablesVariable Definitions
Occpd1, Occpd2, Occpd3, Occpd4, Occpd5, Occpd6
Dummy variable for occupation type of the household head: Professional (Occpd1=0), Administrative (Occpd1=1), Clerical (Occpd2=1), Sales (Occpd3=1), Services (Occpd4=0), Agriculture (Occpd5=0), Production (Occpd6=1),
Flrarea29, Flrarea30, Flrarea50
Percent of dwelling units with area less than or equal to 29 sq. m, 30 sq. m to less than 50 sq. m and 50 sq. m or more, respectively
Yrbuilt80, Yrbuilt81, Yrbuilt86
Percent of dwelling units that are built in 1980 and earlier, between 1981 and 1985, and after 1986, respectively
Rooftype Percent of dwelling units with durable roof quality
Walltype Percent of dwelling units with durable wall quality
Repair Percent of dwelling units not needing repair
Lowinc, Midinc, Highinc Percent of households with low income (less than P9,000), middle income (between P9,000 and 14,999), and high income (more than P15,000)
Formal Percent of households with formal tenure
Single, Duplex, Multi Percent of dwelling units under single, duplex and multi-unit types, respectively
Landval Average land value Access, Distmkti,
Timemkti Accessibility measure, Distance and travel time to the Makati CBD area
Density Population density of the zone
Res, Educ, Ind, Comm Percent of land classified as residential, educational, industrial, and commercial, respectively
37
Estimation of Residential Location Choice Model
Variable Formal
Households Informal
Household
Consumer Surplus 0.31685 (1.690)
0.56290 (2.024)
Nunits -0.31719 (-1.383)
-0.30316 (-1.343)
Log-Likelihood -8956.3508 -11510.0356
Estimation results:
Procedure:•5,000 samples were randomly selected from the household microdata (formal and informal sector)•Bid functions were used to generate estimates of the consumer surplus for each alternative•10 alternative residential zones, including the observed choice, were sampled.
38
Estimation of Residential Location Choice Model (contd.)
Preliminary model estimates:•Yielded significant parameter estimates and expected signs for the consumer surplus terms•Size terms are not significant
39
Modeling Employment Location Choices
• Multinomial Logit that includes the ff. variables:– Accessibility measures (e.e. access to population
areas, distance or travel time to CBD)– Agglomeration variables– Land use characteristics
hi
ip
40
Modeling Employment Location Choices (contd)
Possible microsimulation process:1) Generate conditional probability of a household head
having a particular workplace zone socio-economic characteristics (age, sex, marital status, educational level, economic activity rate, etc.)
2) Assign the workplace zone for each household head using monte carlo sampling
3) Stratify the household heads according to employment status (formal or informal)
4) Generate alternative workplace zones by random sampling
5) Estimate the employment location choice model for each household head
41
Implications for Spatial Planning and Policy Analysis
• Estimation of household incomes and housing tenure characteristics distinguishes households ‘on the ground’
• Spatially-disaggregated view of urban location choice behavior of households
• More practical use of existing census-based information
42
Further Insights
• Spatial microsimulation provides a very flexible and powerful platform for modeling cities in developing countries
• Additional modules can be efficiently added into the simulation system (e.g. residential location choice)
• It is envisioned that spatial microsimulation will become an indispensable tool in policy analysis and urban modeling in developing countries
Thank you!
44
Occupational and Industry Choice ModelUsing Multinomial Logit (MNL) formulation
log 2,3, , ; 1,2,3, ,jte t j
it
PX j N t T
P
K K
1
2
1
1 t i
t Nx
j
Pe
2
1
t i
t i
x
it Nx
j
eP
e
where i, j : are choices t : observation indexXt : vector of characteristics of individual t : parameters to be estimated
Back
45
Occupational Choice Model
Dependent Variable
Constant Age Education
loge (P2/P1) 2.19964
(2.80)
0.03299
(3.55)
-0.56933
(-5.21)
loge (P3/P1) 5.73023
(7.10)
-0.01963
(-1.90)
-0.80484
(-7.19)
loge (P4/P1) 6.74246
(9.38)
0.01746
(2.02)
-1.13837
(-11.35)
loge (P5/P1) 9.27353
(12.93)
-0.01619
(-1.85)
-1.31615
(-13.17)
loge (P6/P1) 8.83468
(8.98)
0.00114
(0.08)
-1.82601
(-13.45)
loge (P7/P1) 11.70120
(16.99)
-0.02722
(-3.36)
-1.49805
(-15.53)
Number of samples = 2782
Log likelihood = -3910.89Occupation groups: 1-Professional, 2-Administrative , 3-Clerical, 4-Sales, 5-Services, 6-Agriculture, 7-Production
Dependent Variable
Constant Age Education
loge (P2/P1)
Admin.
-3.28201
(-1.54)
0.04599
(2.29)
0.09137
(0.32)
loge (P3/P1)
Clerical
1.91185
(1.07)
-0.03428
(-1.78)
-0.08785
(-0.36)
loge (P4/P1)
Sales
8.15741
(5.60)
0.01268
(0.84)
-1.3016
(-6.51)
loge (P5/P1)
Services
9.40614
(6.04)
0.00086
(0.05)
-1.58440
(-7.50)
loge (P6/P1)
Agriculture
2.30222
(0.48)
0.06049
(0.96)
-1.57401
(-2.88)
loge (P7/P1)
Production
9.51814
(5.99)
-0.03491
(-1.89)
-1.32354
(-6.25)
Number of samples = 457
Log likelihood = -638.35Occupation groups: 1-Professional, 2-Administrative , 3-Clerical, 4-Sales, 5-Services, 6-Agriculture, 7-Production
• Higher education invariably makes it more likely to be in a higher-order group (professional)• Age (a proxy for experience) makes it more likely to be in production and administrative-type work• Females with higher education tend to be in sales and services
Male samples Female samples
Back
46
Industry Choice Model
Dependent Variable
Constant Age Education
loge (P2/P1) 2.68336
(4.31)
-0.03011
(-3.00)
0.19582
(2.43)
loge (P3/P1) 0.24130
(0.37)
0.00053
(0.05)
0.29745
(3.55)
loge (P4/P1) 1.52469
(2.38)
-0.01635
(-1.58)
0.20948
(2.52)
loge (P5/P1) -2.4167
(-3.28)
-8.38E-03
(-0.73)
0.71486
(7.37)
loge (P6/P1) -.03647
(-0.06)
-0.00210
(-0.21)
0.45899
(5.59)
Number of samples = 2807
Log likelihood = -4419.81Industry groups: 1-Agriculture, 2-Manufacturing, 3-Wholesale/Retail, 4-Transportation, 5-Financing, 6-Community Services
Dependent Variable
Constant Age Education
loge (P2/P1) 6.86490
(1.51)
-0.09258
(-1.54)
0.29546
(0.60)
loge (P3/P1) 6.24433
(1.39)
-0.04996
(-0.84)
0.20742
(0.43)
loge (P4/P1) 0.12557
(0.03)
-0.054891
(-0.88)
0.94319
(1.78)
loge (P5/P1) -0.42337
(-0.09)
-0.05421
(-0.89)
1.14472
(2.22)
loge (P6/P1) 4.94025
(1.10)
-0.04064
(-0.68)
0.36853
(0.76)
Number of samples = 459
Log likelihood = -595.07Industry groups: 1-Agriculture, 2-Manufacturing, 3-Wholesale/Retail, 4-Transportation, 5-Financing, 6-Community Services
Male samples Female samples
• Workers with higher education tend to work in service industries• Younger workers tend to join the manufacturing industry• Males tend to work in financing and community services• Females tend to work in financing industry
Back
47
Household Income Models with Selectivity on Employment Status
• 3-Stage Estimation (Lee, 1978)
0 1 2
0 1 2
*0 1 2 3
ln
ln
(ln ln )
SEi SE SEi E SEi E SEi
Ei E Ei E Ei E Ei
i SEi Ei i i i
I X Z
I X Z
I I I X Z
*
*
1if 0
0 if 0
i i
i i
I I
I I
where ln I are log of incomes, X are socioeconomic characteristics of the individual and Z are industry attributes, and I* is the latent variable for employment choice
• Probit formulation
Self-employed
Wage-earner
SEi ~ N(0, SE2)
Ei ~ N(0, E2)
Back
48
* * * * *, ( | 0) ( | )i i i i i i i iI E I E
*1( )
( )i
i
f
F
* * *( | 0) ( | )i i i i iE I E
*2( )
1 ( )i
i
f
F
• Reduced-form Probit of Employment Status
• Bias-corrected Income Functions
*
*
0 1 2 1
0 1 2 2
( )ln
( )
( )ln
1 ( )
iSEi SE SEi E SEi E
i
iEi E Ei E Ei E
i
fI X Z
F
fI X Z
F
Given the assumption of the model, the individual enjoys comparative advantage in the group if 1*<0 and 2*>0.
Back
49
Probit Model for Employment StatusDependent variable: EMPSTATUS
Number of observations: 2522
Log likelihood = -893.81
Fraction of Correct Predictions = 0.868
Estimated Coefficient
Standard Error
t-statistic P-value
C 2.68835 0.48844 5.50 0.000
HHSEX -0.52009 0.0989 -5.26 0.000
HHAGE 0.05500 0.01827 -3.01 0.003
HHAGE2 0.00033 0.00019 1.74 0.081
HHSTAT -0.12583 0.07232 -1.17 0.082
HHEDUC 0.10401 0.02436 4.27 0.000
MEMBERS -0.04319 0.01406 -3.07 0.002
HHOCC 0.08043 0.01874 4.29 0.000
HHIND 0.09008 0.02172 4.15 0.000
• Higher education increase probability to be self-employed• Workers with more professional-type job has greater tendency to be self-employed• Being male increases probability to be self-employed
1 – Self-employed0 – Wage-earner
Back
50
Income Functions
Self-employed Wage-earnersDependent variable: LWAGEINC (SELF-EMPLOYED)
Number of observations: 346
R-squared = 0.107 Adjusted R-squared = 0.082
Estimated Coefficient
Standard Error
t-statistic P-value
C 7.20424 0.76581 9.41 0.000
HHSEX -1.02470 0.31477 -3.26 0.001
HHAGE -0.00858 0.02975 -0.29 0.773
HHAGE2 -0.00003 0.00025 -0.14 0.892
HHSTAT -0.04287 0.12344 -0.47 0.729
HHEDUC 0.24917 0.06492 3.84 0.000
MEMBERS 0.00141 0.02778 0.05 0.960
HHOCC 0.08912 0.04702 2.89 0.059
HHIND 0.11326 0.05549 2.04 0.042
SEL -3.26608 1.19332 -2.74 0.007
Dependent variable: LWAGEINC (WAGE-EARNER)
Number of observations: 2176
R-squared = 0.290 Adjusted R-squared = 0.287
Estimated Coefficient
Standard Error
t-statistic P-value
C 7.99318 0.27178 29.41 0.000
HHSEX -0.16622 0.05854 -2.84 0.005
HHAGE 0.02353 0.01217 1.93 0.053
HHAGE2 -0.00013 0.00012 -1.11 0.269
HHSTAT -0.07688 0.03266 -2.35 0.019
HHEDUC 0.17533 0.01389 12.62 0.000
MEMBERS 0.07398 0.00737 10.04 0.000
HHOCC -0.08084 0.01106 -7.31 0.000
HHIND -0.01791 0.01261 -1.42 0.156
SEL 0.06198 0.85883 0.07 0.942
• Workers who are either self-employed or wage-earners experience comparative advantage in their respective group• Correction for selectivity bias is significant for self-employed
Back
51
Permanent Income Model
• Explanatory variables for permanent income are human and non-human wealth• Permanent income increases with age• Additional education increases permanent income
Dependent variable: LOG(TOTINC)
Number of observations: 2522
R-squared = 0.597 Adjusted R-squared = 0.593
Estimated Coefficient
Standard Error
t-statistic P-value
C 4.58910 0.17408 26.36 0.000
HHAGE 0.02026 0.00487 4.16 0.000
HHAGE2 -0.00008 0.00005 -1.12 0.129
HHEDUC -0.24477 0.03722 -6.58 0.000
HHEDUC2 0.03879 0.00385 10.08 0.000
HHLDTYPE 0.18657 0.02041 9.14 0.000
LHHINC 0.46505 0.01253 37.10 0.000
Back
52
Probit Model for Housing Tenure Status
• Formal tenure consists of owners, renters, and those who own land; Informal tenure refers to those who may own house but does not own the land• The higher the income the higher the probability to be in formal housing• Higher education increases probability to be in formal housing• Larger household size increases probability towards informal housing
Dependent variable: TENURE
Number of observations: 2522
Log likelihood = -1399.48
Fraction of Correct Predictions = 0.738
Estimated Coefficient
Standard Error
t-statistic P-value
C -2.23073 0.40986 -5.44 0.000
HHEDUC 0.09740 0.02150 4.53 0.000
HHLDSIZE -0.0422 0.01258 -3.35 0.001
HHTOTINC 0.27398 0.04804 5.70 0.000
0 – Informal tenure1 – Formal tenure
Back
53
Housing Value Model Housing value for formal households
Housing value for informalhouseholds
Dependent variable: HVALUE (FORMAL TENURE)
Number of observations: 1861
R-squared = 0.600 Adjusted R-squared = 0.599
Estimated Coefficient
Standard Error
t-statistic P-value
C -5.80280 1.38139 -4.20 0.000
HHEDUC 0.15966 0.04046 3.95 0.000
HHLDSIZE -0.08032 0.01705 -4.72 0.000
HHTOTINC 1.24664 0.09529 13.08 0.156
SEL -2.10730 0.83606 -2.52 0.012
Dependent variable: HVALUE (INFORMAL TENURE)
Number of observations: 661
R-squared = 0.529 Adjusted R-squared = 0.526
Estimated Coefficient
Standard Error
t-statistic P-value
C 0.72809 1.33387 0.54 0.585
HHEDUC 0.01062 0.01871 0.57 0.571
HHLDSIZE -0.06616 0.01053 -6.28 0.000
HHTOTINC 0.99019 0.05176 19.13 0.156
SEL -5.01102 2.03424 -2.46 0.014
• Selectivity correction term is significant for both formal and informal tenure status Back
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Inequality Index Calculations
• Gini Coefficient
• Theil Index
• Coefficient of Variation
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