Household size and living standard: Evidence from Khyber District of Ex-FATA

Abstract

The objective of this study is to understand the living standard of households and to assess the net impact of household size in the Federally Administered Tribal Areas (ex-FATA). For reaching these objectives, this study uses primary data collected through an interview schedule. First, descriptive statistics are used for comparing the living standard of the households from the study area with province and country. Second, the “consumption quintiles” method is used for assessing the net impact of household size on the living standard. For this analysis, the OECD equivalence scale is used which adjusts the household size for incorporating the economies of large household size. The results of the study show that 71% of people live below the poverty line and per capita income is 490 USD in the study area. Households allocate 58% of expenditure to food consumption. All these results indicate a very low level of living standard in the study area. Finally, the study finds out the net impact of large household size on living standard to be negative. In the end, the study recommends certain policies for improving living standards and controlling population growth.