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- 1. Low Income Lines, 2010-2011 ArchivedArticles and reports: 75F0002M2012002Description:
In order to provide a holographic or complete picture of low income, Statistics Canada uses three complementary low income lines: the Low Income Cut-offs (LICOs), the Low Income Measures (LIMs) and the Market Basket Measure (MBM). While the first two lines were developed by Statistics Canada, the MBM is based on concepts developed by Human Resources and Skill Development Canada. Though these measures differ from one another, they give a generally consistent picture of low income status over time. None of these measures is the best. Each contributes its own perspective and its own strengths to the study of low income, so that cumulatively, the three provide a better understanding of the phenomenon of low income as a whole. These measures are not measures of poverty, but strictly measures of low income.
Release date: 2012-06-18 - Articles and reports: 75F0002M2012001Description:
This study examines low income in Canada over a 34-year period from 1976 to 2009 with a multi-line, multi-index approach using data from the Survey of Consumer Finance (1976 to 1995) and Survey of Labour and Income Dynamics (1996 to 2009). Three different low income lines are used: the Low Income Cut-offs (LICOs); the Low Income Measure (LIM) and the Market Basket Measure (MBM). In addition, three indexes are used to measure the incidence, depth and severity of low income in the study.
We first examine the evolution of low-income at the national level. This is followed by an investigation of the low income experiences of children, seniors, lone-parents, unattached non-elderly individuals, recent immigrants, off-reserve aboriginals and persons with activity limitations. Next, we compare low incomes across the ten provinces as well as seven Census Metropolitan Areas (CMA). Finally, we study low income mobility in Canada during the 1993-to-2009 period.
Release date: 2012-03-07 - 3. Low Income Lines, 2008-2009 ArchivedArticles and reports: 75F0002M2010005Description:
In order to provide a holographic or complete picture of low income, Statistics Canada uses three complementary low income lines: the Low Income Cut-offs (LICOs), the Low Income Measures (LIMs) and the Market Basket Measure (MBM). While the first two lines were developed by Statistics Canada, the MBM is based on concepts developed by Human Resources and Skill Development Canada. Though these measures differ from one another, they give a generally consistent picture of low income status over time. None of these measures is the best. Each contributes its own perspective and its own strengths to the study of low income, so that cumulatively, the three provide a better understanding of the phenomenon of low income as a whole. These measures are not measures of poverty, but strictly measures of low income.
Release date: 2010-06-17 - Articles and reports: 75F0002M2010004Description:
Statistics Canada introduced its Low Income Measure (LIM) in 1991 as a complement to its Low Income Cut-Offs (LICOs). The Low Income Measure (LIM) is a dollar threshold that delineates low-income in relation to the median income and different versions of this measure are in wide use internationally. Over the intervening 25 years there have been a number of useful methodological and conceptual developments in the area of low income measurement. To make the Canadian LIM methodology consistent with international norms and practices, a revision of the Statistics Canada LIM methodology appears desirable.
This paper describes three modifications to the LIM that Statistics Canada plans to introduce in 2010: replacing the economic family by household; replacing the current LIM equivalence scale by the square root of household size; and taking household size into consideration in determining the low-income thresholds. The paper explains the rationale behind each modification and demonstrates the impacts the revisions will have on low-income statistics in comparison with those under the existing LIM. Overall the revisions do not have any significant effect on broad historic trends in low-income statistics in Canada. However, compared to the existing LIM the revised LIM produces lower estimates of low-income incidence for certain groups of individuals such as unattached non-elderly individuals.
Release date: 2010-06-07 - Articles and reports: 75F0002M2010003Description:
This study assesses the existing LICO, LIM, and MBM lines, together with a fixed LIM, by using several distribution sensitive indexes. We found that the low income lines tracked each other well in the long-run. But, in the short-run, they often behaved differently. The same was observed when examining different indexes under the same line. In the long-run, the low income rate, gap, and severity indexes all moved in the same direction. However in the short-run, they sometimes varied in opposite directions, or in the same direction with different magnitudes, suggesting that a single line or index can be misleading in some circumstances.
Release date: 2010-05-26 - Articles and reports: 75F0002M2009002Description:
Low income cut-offs (LICOs) are income thresholds, determined by analysing family expenditure data, below which families will devote a larger share of income to the necessities of food, shelter and clothing than the average family would. To reflect differences in the costs of necessities among different community and family sizes, LICOs are defined for five categories of community size and seven of family size.
Low income measures (LIMs), on the other hand, are strictly relative measures of low income, set at 50% of adjusted median family income. These measures are categorized according to the number of adults and children present in families, reflecting the economies of scale inherent in family size and composition. This publication incorporates a detailed description of the methods used to arrive at both measurements. It also explains how base years are defined and how LICOs are updated using the Consumer Price Index.
Release date: 2009-06-03 - Articles and reports: 75F0002M2008004Description:
Low income cut-offs (LICOs) are income thresholds, determined by analysing family expenditure data, below which families will devote a larger share of income to the necessities of food, shelter and clothing than the average family would. To reflect differences in the costs of necessities among different community and family sizes, LICOs are defined for five categories of community size and seven of family size.
Low income Measures (LIMs), on the other hand, are strictly relative measures of low income, set at 50% of adjusted median family income. These measures are categorized according to the number of adults and children present in families, reflecting the economies of scale inherent in family size and composition. This publication incorporates a detailed description of the methods used to arrive at both measurements. It also explains how base years are defined and how LICOs are updated using the Consumer Price Index.
Release date: 2008-06-04 - Articles and reports: 75F0002M2007004Description:
Low income cut-offs (LICOs) are income thresholds, determined by analysing family expenditure data, below which families will devote a larger share of income to the necessities of food, shelter and clothing than the average family would. To reflect differences in the costs of necessities among different community and family sizes, LICOs are defined for five categories of community size and seven of family size.
Low income Measures (LIMs), on the other hand, are strictly relative measures of low income, set at 50% of adjusted median family income. These measures are categorized according to the number of adults and children present in families, reflecting the economies of scale inherent in family size and composition. This publication incorporates a detailed description of the methods used to arrive at both measurements. It also explains how base years are defined and how LICOs are updated using the Consumer Price Index.
Release date: 2007-05-10 - Articles and reports: 75F0002M2005003Description:
Statistics Canada has been publishing data on low-income Canadians for more than 30 years. In the past, these measures were published separately in Low income cut-offs (Catalogue no. 13-551-XPB) and Low income measures, low-income after-tax cut-offs and low-income after-tax measures (Catalogue no. 13F0019-XPB). Henceforth, all these measures will be incorporated in this publication.
As well as the various cut-offs, this publication contains a detailed description of the methods used to arrive at the cut-off points. There is also an explanation of how base years are defined, and how the cut-offs are updated using the Consumer Price Index (CPI).
Release date: 2005-04-21 - 10. Low Income Measurement in Canada ArchivedArticles and reports: 75F0002M2004011Description:
This paper consolidates existing information on the measurement of low income in Canada, and indicates the current status of the three measures of low income in Canada: the low income cut-offs (LICOs), the low income measures (LIMs) and the market basket measure (MBM). The methodology of each measure is presented, and future developments in the measurement of low income are discussed.
Release date: 2004-12-14
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- 1. Low Income Lines, 2010-2011 ArchivedArticles and reports: 75F0002M2012002Description:
In order to provide a holographic or complete picture of low income, Statistics Canada uses three complementary low income lines: the Low Income Cut-offs (LICOs), the Low Income Measures (LIMs) and the Market Basket Measure (MBM). While the first two lines were developed by Statistics Canada, the MBM is based on concepts developed by Human Resources and Skill Development Canada. Though these measures differ from one another, they give a generally consistent picture of low income status over time. None of these measures is the best. Each contributes its own perspective and its own strengths to the study of low income, so that cumulatively, the three provide a better understanding of the phenomenon of low income as a whole. These measures are not measures of poverty, but strictly measures of low income.
Release date: 2012-06-18 - Articles and reports: 75F0002M2012001Description:
This study examines low income in Canada over a 34-year period from 1976 to 2009 with a multi-line, multi-index approach using data from the Survey of Consumer Finance (1976 to 1995) and Survey of Labour and Income Dynamics (1996 to 2009). Three different low income lines are used: the Low Income Cut-offs (LICOs); the Low Income Measure (LIM) and the Market Basket Measure (MBM). In addition, three indexes are used to measure the incidence, depth and severity of low income in the study.
We first examine the evolution of low-income at the national level. This is followed by an investigation of the low income experiences of children, seniors, lone-parents, unattached non-elderly individuals, recent immigrants, off-reserve aboriginals and persons with activity limitations. Next, we compare low incomes across the ten provinces as well as seven Census Metropolitan Areas (CMA). Finally, we study low income mobility in Canada during the 1993-to-2009 period.
Release date: 2012-03-07 - 3. Low Income Lines, 2008-2009 ArchivedArticles and reports: 75F0002M2010005Description:
In order to provide a holographic or complete picture of low income, Statistics Canada uses three complementary low income lines: the Low Income Cut-offs (LICOs), the Low Income Measures (LIMs) and the Market Basket Measure (MBM). While the first two lines were developed by Statistics Canada, the MBM is based on concepts developed by Human Resources and Skill Development Canada. Though these measures differ from one another, they give a generally consistent picture of low income status over time. None of these measures is the best. Each contributes its own perspective and its own strengths to the study of low income, so that cumulatively, the three provide a better understanding of the phenomenon of low income as a whole. These measures are not measures of poverty, but strictly measures of low income.
Release date: 2010-06-17 - Articles and reports: 75F0002M2010004Description:
Statistics Canada introduced its Low Income Measure (LIM) in 1991 as a complement to its Low Income Cut-Offs (LICOs). The Low Income Measure (LIM) is a dollar threshold that delineates low-income in relation to the median income and different versions of this measure are in wide use internationally. Over the intervening 25 years there have been a number of useful methodological and conceptual developments in the area of low income measurement. To make the Canadian LIM methodology consistent with international norms and practices, a revision of the Statistics Canada LIM methodology appears desirable.
This paper describes three modifications to the LIM that Statistics Canada plans to introduce in 2010: replacing the economic family by household; replacing the current LIM equivalence scale by the square root of household size; and taking household size into consideration in determining the low-income thresholds. The paper explains the rationale behind each modification and demonstrates the impacts the revisions will have on low-income statistics in comparison with those under the existing LIM. Overall the revisions do not have any significant effect on broad historic trends in low-income statistics in Canada. However, compared to the existing LIM the revised LIM produces lower estimates of low-income incidence for certain groups of individuals such as unattached non-elderly individuals.
Release date: 2010-06-07 - Articles and reports: 75F0002M2010003Description:
This study assesses the existing LICO, LIM, and MBM lines, together with a fixed LIM, by using several distribution sensitive indexes. We found that the low income lines tracked each other well in the long-run. But, in the short-run, they often behaved differently. The same was observed when examining different indexes under the same line. In the long-run, the low income rate, gap, and severity indexes all moved in the same direction. However in the short-run, they sometimes varied in opposite directions, or in the same direction with different magnitudes, suggesting that a single line or index can be misleading in some circumstances.
Release date: 2010-05-26 - Articles and reports: 75F0002M2009002Description:
Low income cut-offs (LICOs) are income thresholds, determined by analysing family expenditure data, below which families will devote a larger share of income to the necessities of food, shelter and clothing than the average family would. To reflect differences in the costs of necessities among different community and family sizes, LICOs are defined for five categories of community size and seven of family size.
Low income measures (LIMs), on the other hand, are strictly relative measures of low income, set at 50% of adjusted median family income. These measures are categorized according to the number of adults and children present in families, reflecting the economies of scale inherent in family size and composition. This publication incorporates a detailed description of the methods used to arrive at both measurements. It also explains how base years are defined and how LICOs are updated using the Consumer Price Index.
Release date: 2009-06-03 - Articles and reports: 75F0002M2008004Description:
Low income cut-offs (LICOs) are income thresholds, determined by analysing family expenditure data, below which families will devote a larger share of income to the necessities of food, shelter and clothing than the average family would. To reflect differences in the costs of necessities among different community and family sizes, LICOs are defined for five categories of community size and seven of family size.
Low income Measures (LIMs), on the other hand, are strictly relative measures of low income, set at 50% of adjusted median family income. These measures are categorized according to the number of adults and children present in families, reflecting the economies of scale inherent in family size and composition. This publication incorporates a detailed description of the methods used to arrive at both measurements. It also explains how base years are defined and how LICOs are updated using the Consumer Price Index.
Release date: 2008-06-04 - Articles and reports: 75F0002M2007004Description:
Low income cut-offs (LICOs) are income thresholds, determined by analysing family expenditure data, below which families will devote a larger share of income to the necessities of food, shelter and clothing than the average family would. To reflect differences in the costs of necessities among different community and family sizes, LICOs are defined for five categories of community size and seven of family size.
Low income Measures (LIMs), on the other hand, are strictly relative measures of low income, set at 50% of adjusted median family income. These measures are categorized according to the number of adults and children present in families, reflecting the economies of scale inherent in family size and composition. This publication incorporates a detailed description of the methods used to arrive at both measurements. It also explains how base years are defined and how LICOs are updated using the Consumer Price Index.
Release date: 2007-05-10 - Articles and reports: 75F0002M2005003Description:
Statistics Canada has been publishing data on low-income Canadians for more than 30 years. In the past, these measures were published separately in Low income cut-offs (Catalogue no. 13-551-XPB) and Low income measures, low-income after-tax cut-offs and low-income after-tax measures (Catalogue no. 13F0019-XPB). Henceforth, all these measures will be incorporated in this publication.
As well as the various cut-offs, this publication contains a detailed description of the methods used to arrive at the cut-off points. There is also an explanation of how base years are defined, and how the cut-offs are updated using the Consumer Price Index (CPI).
Release date: 2005-04-21 - 10. Low Income Measurement in Canada ArchivedArticles and reports: 75F0002M2004011Description:
This paper consolidates existing information on the measurement of low income in Canada, and indicates the current status of the three measures of low income in Canada: the low income cut-offs (LICOs), the low income measures (LIMs) and the market basket measure (MBM). The methodology of each measure is presented, and future developments in the measurement of low income are discussed.
Release date: 2004-12-14
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