Analysis of Sirnak Provincial Household Consumption Expenditures
Şırnak İli Hanehalkı Tüketim Harcamaları Analizi

Author : ihsan GÜZEL - Bekir Sami OĞUZTÜRK
Number of pages : 205-224

Abstract

The aim of this study is to analyze the consumption expenditures of households living in Sirnak province. The relationship between income and consumption will be analyzed and spending elasticities will be calculated for 12 product groups. The study will also seek an answer to the question of whether the Engel’s Law is valid for households living in Sirnak province or not. As it is known, the Engel’s Law says that as the income level of consumers increases, the budget allocated to food expenditures decreases. In the study, it will be revealed whether there is a similar situation in Sirnak sample. For this purpose, a questionnaire was applied to 382 households across the province by face-to-face interview method. As a result of face-to-face interviews and questionnaires, interesting findings were found. Using the regression analysis with the help of Engel’s functions, spending elasticity was calculated for each product group. As a result of the study, it was revealed that the share of food expenditures decreased as the income level increased. This means that the Engel’s Law is valid for the province of Sirnak. In addition to the Engel’s Law, elasticities were calculated for all expenditure groups and goods were classified according to their elasticity coefficients. One of the remarkable findings in the study is that transportation expenditures for health services have an important share in the budget.

Keywords

Sirnak, Consumption expenditures, Engel's law, Elasticity, Regression Analysis

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