Age and income in affecting household consumption in Denpasar region

Consumption expenditure is one of the indicators used to measure the objective well-being. The average per capita household consumption expenditure in Denpasar City has decreased during Covid-19 until post Covid-19 but remains the highest compared to other districts in Bali Province. The purpose of this study was to analyze age and income in affecting household consumption expenditure in Denpasar City. Primary data obtained from respondents used in this study. Based on the results of the analysis using multiple linear regression analysis techniques, it was found that age had a positive but insignificant effect, while income had a positive and significant effect on household consumption expenditure in Denpasar City. This study confirms Modigliani`s Life Cycle Theory and Engel Curve that used in this study to build the research model. The implication of this study is the income used to increase household consumption expenditure is fixed income. For Balinese Hindu families, rahinan and menyama braya are mandatory consumption expenditures in addition to primary needs that must be met.

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Publication Details

Journal
World Journal of Advanced Research and Reviews
Published
2024-12-30
DOI
https://doi.org/10.30574/wjarr.2024.24.3.4024
Primary Topic
Leadership, Behavior, and Decision-Making Studies
Type
article
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article

Age and income in affecting household consumption in Denpasar region

Ni Made Intan Priliandani, I Gusti Ayu Athina Wulandari
World Journal of Advanced Research and Reviews
Leadership, Behavior, and Decision-Making Studies
article

Age and income in affecting household consumption in Denpasar region

Ni Made Intan Priliandani, I Gusti Ayu Athina Wulandari
article en

Abstract

Consumption expenditure is one of the indicators used to measure the objective well-being. The average per capita household consumption expenditure in Denpasar City has decreased during Covid-19 until post Covid-19 but remains the highest compared to other districts in Bali Province. The purpose of this study was to analyze age and income in affecting household consumption expenditure in Denpasar City. Primary data obtained from respondents used in this study. Based on the results of the analysis using multiple linear regression analysis techniques, it was found that age had a positive but insignificant effect, while income had a positive and significant effect on household consumption expenditure in Denpasar City. This study confirms Modigliani`s Life Cycle Theory and Engel Curve that used in this study to build the research model. The implication of this study is the income used to increase household consumption expenditure is fixed income. For Balinese Hindu families, rahinan and menyama braya are mandatory consumption expenditures in addition to primary needs that must be met.

World Journal of Advanced Research and ReviewsVol. 24(3)
Openalex Percentile: Top 69%
Leadership, Behavior, and Decision-Making Studies
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