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Low Fertility Rate And Consumption Behavior Of Households In Taiwan

Author

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  • JR-TSUNG HUANG

    (Department of Public Finance, College of Social Sciences, National Chengchi University, Taipei 116, Taiwan)

  • JIUN-NAN PAN

    (#x2020;Discipline of Accounting, College of Management, Yuan Ze University, Taoyuan 320, Taiwan)

  • MING-LEI CHANG

    (#x2021;Department of Accounting, College of Business, Chung Yuan Christian University, Taoyuan 320, Taiwan)

  • SHIH-YI YOU

    (#xA7;Institute of Guangdong, Hong Kong and Macao, Development Studies, Sun Yat-sen University, Guangzhou 510275, P. R. China)

Abstract

Since the economic consequences of a low fertility rate, such as a change in consumption patterns, might affect the path of economic growth, this study investigates how the relationship between the low fertility rate and consumption behavior in Taiwan has changed over time. Using county-level panel data from 1995 to 2014 to examine the impact of the low fertility rate on the consumption behavior of households in Taiwan, the major finding of this study is that a low fertility rate will change the behavior and the composition of consumption. A low fertility rate will increase the share of the total consumption expenditure in a household’s disposable income, in particular, in relation to the consumption categories of food, health care, education, and transportation and communication, but will decrease the share of expenditure on clothing in the household’s disposable income.

Suggested Citation

  • Jr-Tsung Huang & Jiun-Nan Pan & Ming-Lei Chang & Shih-Yi You, 2019. "Low Fertility Rate And Consumption Behavior Of Households In Taiwan," The Singapore Economic Review (SER), World Scientific Publishing Co. Pte. Ltd., vol. 64(01), pages 175-190, March.
    • Handle: RePEc:wsi:serxxx:v:64:y:2019:i:01:n:s021759081750014x
    DOI: 10.1142/S021759081750014X
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    Cited by:

    1. Yanyan Huang & Fuzhong Chen, 2022. "The Impact of Household Debt on Food Expenditure and Its Mechanism in Urban China," Journal of Family and Economic Issues, Springer, vol. 43(3), pages 466-475, September.

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