The Integrated Living Conditions Survey (ILCS), conducted annually by the RA NSS (Republic of Armenia National Statistical Service), formed the basis for most of the empirical analyses in the report. The ILCS is a universally recognized best-practice statistical survey for collecting data to inform about the living standards of households. ILCS comprises comprehensive and valuable data on the welfare of households and separate individuals which affords the NSS an opportunity to provide the public with up to date information on the population’s income, expenditures, the level of poverty and the other changes in living standards on an annual basis.In 2003-2004 the National Statistical Service of the Republic of Armenia took important steps to improve the Armenia Integrated Leaving Conditions Survey (ILCS) and bring the poverty measurement methodology it applied up to date. With technical assistance from the World Bank provided through a series of consultations and hands-on-training, the following changes were made:- the sample frame for the Integrated Leaving Conditions Survey was updated using the 2001 Population Census data; - the sample size was expanded, so as to make the ILSC representative at the regional (marz) level; - the ILSC questionnaire was revised to account for economic and social changes since 1998-1999 and an extensive labor module was added to the survey; - staff involved in ILCS implementation was better trained.