A nationwide wealth score based on the 2000 Brazilian demographic census

Objective To propose an asset based indicator of wealth for Brazil using variables present in the demographic census. Methods The indicator named IEN (Indicador Economico Nacional/National Wealth Score), was developed using 12 assets and the schooling of the household head, through principal component analysis. Data from the 2000 Brazilian Demographic sample was used for deriving the score and for the calculation of decile cut-off points. Results The indicator, first component obtained from the analysis with the 13 variables, retained 38% of the total variability, and presented a Spearman correlation of 0, 74 with total family income and of 0,67 with per capita income. The necessary scores to calculate the indicator are presented, as well as reference distributions for the 2 7 states and their capitals, the five major regions as for the whole country. An example of use of indicator is presented Conclusions Differently from other economic indicators,. the Indicador Economico Nacional has local reference distributions available, along with the national distribution. It is therefore possible to compare a study sample to the municipal, state or country distribution. The small number of variables allow investigators to calculate the Indicador Economico Nacional in research studies where economic classification is of interest.