Page 199 - Contributed Paper Session (CPS) - Volume 1

CPS1278 Desiree R. et al.
An application of the generalized Lavallee-
Hidiroglou algorithm in business surveys: A
sampling methodology for the census of the
Philippine Business and Industry
1,2
1
1
Desiree Robles , Mae Abigail O. Miralles , Abubakar S. Asaad
1 Statistical Methodology Unit, Philippine Statistics Authority
2 College of Public Health, Department of Epidemiology and Biostatistics, University of the
Philippines Manila

Abstract
This study proposes a sampling methodology for the Census of Philippine
Business and Industry (CPBI), an activity undertaken by the Philippine Statistics
Authority (PSA), which aims to collect information to constitute bases upon
which the government and the private sector can formulate policies and build
economic development plans. The proposed sampling methodology uses a
stratified single stage design followed by systematic sampling of
establishments within strata using total employment as the measure of size
for stratification. The sampling methodology was made as such to address the
skewness of the population data, an innate property of establishments and the
issue on reliability of the survey estimates as indicated by the high values of
their corresponding coefficients of variation (CV). The proposed sampling
design applies cut-off sampling together with the Lavallee-Hidiroglou (LH)
Algorithm in determining the stratum boundaries and optimal sample size at
the target CV equal to 5%. The method was applied to the latest available
establishment-survey data – Integrated Survey of Labor and Employment and
was simulated for 200 times. The reliability of the samples using the proposed
methodology was analyzed using the CV of the total employment for each
industry classification. Results show that the samples obtained using the
proposed methodology was able to meet the specified target CV for each
industry classification.

Keywords
Skewed population; Cut-off sampling; Systematic sampling; Simulation

1. Introduction
The CPBI is one of the designated activities undertaken by the PSA. It
collects data and generates statistical information such as structure and trends
of economic activities from the formal sector of the entire country. From this,
the government as well as the private sectors can formulate policies and build
economic development plans. The CPBI is conducted every five years of which
the last published census was done in 2012. Meanwhile, the latest CPBI,

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