(El Universal) - "The Central Bank of Venezuela (BCV) published its results on survey of household budgets, with data collected in November 2004-November 2005, showing that Venezuela is a country where the middle class is gaining ground, while the number of households living in extreme poverty and the number of households in high-income strata are shrinking.

BCV's research based on the Graffar method focuses on the profession of the head of the household, education level of the wife, main source of revenue and lodging conditions. In this way, the bank groups households in five different strata.

The top rank, comprising the high-income households, includes 5.8 percent of households in Venezuela. The second and third positions comprise 64.9 percent of households, with the fourth and fifth ratings including 27.4 percent and 1.9 percent of households.

Compared to 1997, when the previous BCV survey was conducted, the number of households in stratum 1 fell 0.8 percentage points. Stratum 2 soared 3.6 percentage points, stratum 3 climbed 0.1 percent, and strata 4 and 5 dropped 1.6 percent and 1.1 percent, respectively (.)

According to BCV, 30 percent of Venezuelan households live in poverty and of this percentage 10 percent of them in extreme poverty.

The Graffar method shows a middle class society with little extremes, the distribution of income shows inequality.

The study indicates that the richer 10% of the population absorbs 37.6% of the income and the 10% poorer ones, 1.4%.

To measure the unevenness BCV used a thermometer called the Gini coefficient which consists of a number that oscillates between '0' and '1'. The 0 indicates that all inhabitants of the country have the same income and the 1 implies that one person receives all the income or all income is concentrated on one person.

The Central Bank put together what is known as the Index of Life Conditions based on criteria of health, housing, level of education of head of family and income.

The index varies between 0 and 100. If conditions are found between 80 and 100 it is considered high but if found between 0 and 49 it is considered low.

BCV affirms that 'Venezuela passed from middle band welfare in 1997 (60-69) to high band welfare (80-100) in 2005'

The survey indicates that an important part of this result is due to the impact of the social programmes".