scholarly journals Necessity-Rich, Leisure-Poor: The Long-Term Relationship between Income Cohorts and Consumption through Age-Period-Cohort Analysis

2020 ◽  
Author(s):  
Esa Karonen ◽  
Mikko Niemelä

The main aim of this study is to analyse household consumption patterns in the highest and lowest income quintiles and explore how they have changed over time and generations. Thus, the article explores whether social inclusivity through consumption has truly increased. This study utilises the cross-sectional time-series data of the Finnish Household Expenditure Surveys (HESs), covering the period 1966–2016. We use the Age-Period-Cohort Gap/Oaxaca (APCGO) model with logitrank dependent variables as the main statistical method. Our results indicate that an overall high income is advantageous with respect to income and spending, though the gap between high- and low-income groups has remained stagnant over cohorts. A more in-depth analysis reveals that the expenditure gap, in terms of necessities, food, and groceries consumption, has narrowed. Instead, income elastic-oriented spending on culture and leisure time has significantly increased in the high-income group, where the expenditure gap has expanded 60 percentage points over the cohorts. Simply put, expenditures on necessities have become more inclusive, but low-income groups are increasingly more ‘leisure-poor’. Overall, high-income classes are spending an increasing amount of money on culture and leisure time over cohorts.

Author(s):  
Esa Karonen ◽  
Mikko Niemelä

AbstractThe main aim of this study is to analyse household consumption patterns in the highest and lowest income quintiles and explore how they have changed over time and generations. Thus, the article explores whether social inclusivity through consumption has truly increased. This study utilises the cross-sectional time-series data of the Finnish Household Expenditure Surveys (HESs), covering the period 1966–2016. We use the Age-Period-Cohort Gap/Oaxaca (APCGO) model with logitrank dependent variables as the main statistical method. Our results indicate that an overall high income is advantageous with respect to income and spending, though the gap between high- and low-income groups has remained stagnant over cohorts. A more in-depth analysis reveals that the expenditure gap, in terms of necessities, food, and groceries consumption, has narrowed. Instead, income elastic-oriented spending on culture and leisure time has significantly increased in the high-income group, where the expenditure gap has expanded 60 percentage points over the cohorts. Simply put, expenditures on necessities have become more inclusive, but low-income groups are increasingly more ‘leisure-poor’. Overall, high-income classes are spending an increasing amount of money on culture and leisure time over cohorts.


Author(s):  
. Yunita ◽  
. Lifianthi ◽  
Muhammad Arbi

The study was conducted on 150 respondents living in Palembang city that were randomly selected based on the assumptions of community groups that have high income groups (50 respondents), medium income groups (50 respondents), and low income groups (50 respondents). The purpose of the study is to describe the characteristics of consumers and analyze consumer preferences for rice attributes based on the level of household income in Palembang city. This showed that the characteristics of households from the three level groups, both from the high, medium, and low income groups are very diverse which can influence the decision to choose and buy rice to be consumed. Rice attributes include the level of rice extinction, rice retention, taste of rice, aromatic, type of rice, volume of development, head rice, broken grains, grain groats, lime grains, and color. Household consumer preferences based on the importance level of rice attributes for the very important category most selected in the high and medium income groups are the quality before the rice becomes rice, while the low income group is a resilience factor in rice. Household consumer preferences based on the level of preference for the attribute of rice for the category of very like the most chosen in the high income group is the taste of rice, for the medium income group is rice cake and the low income group is rice and head rice.


2014 ◽  
Vol 1030-1032 ◽  
pp. 2459-2462
Author(s):  
Hang Luo ◽  
Yun Hong Shao ◽  
Bi Jie Ding ◽  
Shu Yue Wu

In recent years, with the expansion of urban space in China, large-scale land development and commodity residential construction lead to urban land expanding continuously, the residents especially low-income groups in suburban area face more problems, such as commuting costs increase, transportation accessibility reduce. The purpose of this paper is to compare and analyze the travel choices between high-income and low-income residents in suburban area, using the structural equation modeling to analyze how the social and economic attributes, public transport accessibility and commuting time influence on traffic mode selection, and contribute to public transportation development for low-income group in suburban area. The result of the research shows influence of different factors involving the traffic mode selection between low-income groups and high-income groups.


PLoS ONE ◽  
2021 ◽  
Vol 16 (6) ◽  
pp. e0251430
Author(s):  
Lazar Ilic ◽  
M. Sawada

Income polarization is a pressing issue which is increasingly discussed by academics and policymakers. The present research examines income polarization in Canada’s eight largest Census Metropolitan Areas (CMAs) using data at the census-tract (CT) level between 1971 and 2016. Generally, there are significant decreasing trends in the middle-income population with simultaneously increasing trends in low-income groups. The high-income groups have been relatively stable with fewer significant increasing population trends. Using conventional mapping and cartograms, patterns of the spatial evolution of income inequality are illustrated. Every CMA examined contains an increasing trend of spatial fragmentation at the patch level within each CMA’s landscape mosaic. The results of a spatial autocorrelation analysis at the sub-patch, CT level, exhibit significant spatial clustering of high-income CTs as one process that dominates the increasingly fragmented landscape mosaic.


Author(s):  
Emma Lawlor ◽  
Ruth Hunter ◽  
Deepti Adlakha ◽  
Frank Kee ◽  
Mark Tully

Active travel (AT) has gained increasing attention as a way of addressing low levels of physical activity. However, little is known regarding the relationship between income and AT. The aim of this study was to investigate characteristics associated with undertaking AT in an adult population and by low- and high-income groups. Data collected from the Physical Activity and the Rejuvenation of Connswater (PARC) study in 2017 were used. Participants were categorised into socio-economic groups according to their weekly household income, and were categorised as participating in ‘no’ AT or ‘some’ AT and ‘sufficient’ AT. Multivariable logistic regression explored characteristics associated with AT in the full cohort, and the low- and high-income groups separately. Variables associated with AT in the low-income group were body mass index (BMI), physical activity self-efficacy, marital status, long term illness, difficulty walking and housing tenure. For the high-income group, BMI, marital status, housing tenure and education were associated with AT. For both income groups, there were consistent positive associations with the action/maintenance phase of the stage of change model across all AT categories. The findings suggest that population sub-groups may benefit from targeted initiatives to support engagement in AT and prevent further widening of inequalities.


2020 ◽  
Vol 175 ◽  
pp. 13014 ◽  
Author(s):  
Menghistab Debesai

Following a baseline survey in Eritrea, income diversity study among rural farming households was conducted. Two steps analysis was followed during the analysis of income levels and diversity status: (1) the regional level, and (2) the household level. Simpson Index of Diversification was used to calculate the diversity status both at household and regional level. The analysis indicated that income diversification was pervasive in all regions and households irrespective of income levels. Although income diversification was more in high income groups, it was also substantial with the “extreme” and “low income” groups. The difference was that low income groups diversified in less risky ventures as a necessity, whereas the high income groups diversify even in more risky ventures as a choice. A Tobit regression model indicated that level of education, ethnicity, household size, gross income, income per capita, and access to credit had a positive relationship with income diversity. Others such as the age of the household head, dependency ratio and size of land ownership had a negative relationship. Therefore, policy measures need to be directed towards creating a conducive condition taking into consideration the multiple sources of income, socioeconomic, demographic and institutional conditions of rural farminghouseholds.


Energies ◽  
2021 ◽  
Vol 14 (15) ◽  
pp. 4503
Author(s):  
Wen-Chi Yang ◽  
Wen-Min Lu ◽  
Alagu Perumal Ramasamy

This study estimates the environmental efficiency of 150 economies during the period of 2010–2017 to understand the environmental efficiency trend worldwide. This research adopts the meta-Malmquist approach to compare and capture the dynamic change in environmental efficiency among different income groups. The empirical results indicate that among the four income groups, only the low-income group suffers from regression in terms of environmental efficiency, while the high-income group achieves the greatest progress. For the high-income group, the source of improvement originates from the frontier shift rather than from efficiency change. By contrast, the improvement of the lower-income groups results from the catching-up effect. With regard to the effect of the Paris Agreement, only the lower middle-income group exhibits a statistical difference between the two periods, and environmental efficiency increases after the adoption of the Paris Agreement. The fight against global warming cannot succeed by relying only on specific countries. The whole world must cooperate and improve together, and thus, additional help must be devoted to the low-income group. The statistical results support that differences exist in terms of environmental efficiency among the four income groups. In particular, the low-income group is deteriorating.


2019 ◽  
Vol 61 (1) ◽  
pp. 5-13 ◽  
Author(s):  
Loretta Lees

Abstract Gentrification is no-longer, if it ever was, a small scale process of urban transformation. Gentrification globally is more often practised as large scale urban redevelopment. It is state-led or state-induced. The results are clear – the displacement and disenfranchisement of low income groups in favour of wealthier in-movers. So, why has gentrification come to dominate policy making worldwide and what can be done about it?


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