Determining the Effective Factors on the Food Expenses of Urban Households in Iran: Quantile Regression Method

Document Type : Original Article

Authors

1 PhD Candidate in Economics, Faculty of Economics, Allameh Tabataba’i University, Tehran, Iran

2 Professor of Economic, Faculty of Economics, Allameh Tabataba’i University, Tehran, Iran

3 Professor of Economics, Faculty of Economics, Allameh Tabataba’i University, Tehran, Iran

4 Assistant Professor of Economics, Faculty of Economics, Allameh Tabataba’i University, Tehran, Iran

5 Associate Professor of Economics, Faculty of Economics, Allameh Tabataba’i University, Tehran, Iran

10.29252/jem.2023.229547.1800

Abstract

There are Limit domestic studies that have analyzed household income and expenditure survey data and determined the factors affecting household food expenditure. So, the analysis of the changes that have occurred in the consumption behavior of households is highly necessary due to the many shocks, including the economic sanctions and Covid-19.  In this research, quantile regression was performed concerning 9 quantiles from 0.1 to 0.9 for 2-years 2016 and 2021. Based on the obtained results, among the 16-variable considered in 2016, the gender, education level, and marital status of the head of the household and per capita subsidy received by the household members and in 2021, literacy status, education level, and marital status of the head of the household in None of the quantiles had a significant impact on household food expenditure. Therefore, the household's head's gender and the per capita subsidy received by the household members, which were not considered in 2016, became significant in 2021. The main point is the growth in the per capita income coefficient in 2021 compared to 2016, which indicates the increase in the sensitivity of food expenses to income and the reduction of household food expenses sticking to their previous values, which can demonstrate the decline of the household's economic potential during this 5-years.

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References

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Journal of Economics and Modelling
Volume 13, Issue 3 - Serial Number 51
December 2022
Pages 95-123

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