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Empirical Regularities In Distributions Of Individual Consumption Expenditure

Author

Listed:
  • MARTIN HOHNISCH

    (Economic Theory II, University of Bonn, D-53113 Bonn, Germany)

  • SABINE PITTNAUER

    (Economic Theory II, University of Bonn, D-53113 Bonn, Germany)

  • MANISHA CHAKRABARTY

    (Economic Theory II, University of Bonn, D-53113 Bonn, Germany)

Abstract

We empirically investigate distributions of individual consumption expenditure for four commodity categories conditional on fixed income levels. The data stems from the Family Expenditure Survey carried out annually in the United Kingdom. We use graphical techniques to test for normality and lognormality of these distributions. While prevailing economic theory does not predict any structure for these distributions, we find that in at least three commodity categories individual consumption expenditure conditional on a fixed income level is lognormally distributed.

Suggested Citation

  • Martin Hohnisch & Sabine Pittnauer & Manisha Chakrabarty, 2002. "Empirical Regularities In Distributions Of Individual Consumption Expenditure," International Journal of Modern Physics C (IJMPC), World Scientific Publishing Co. Pte. Ltd., vol. 13(04), pages 541-549.
    • Handle: RePEc:wsi:ijmpcx:v:13:y:2002:i:04:n:s0129183102003292
    DOI: 10.1142/S0129183102003292
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    Citations

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    Cited by:

    1. Schulz, Jan & Mayerhoffer, Daniel M., 2021. "A network approach to consumption," BERG Working Paper Series 173, Bamberg University, Bamberg Economic Research Group.
    2. Giorgio Fagiolo & Lucia Alessi & Matteo Barigozzi & Marco Capasso, 2010. "On the distributional properties of household consumption expenditures: the case of Italy," Empirical Economics, Springer, vol. 38(3), pages 717-741, June.
    3. Matteo Barigozzi & Lucia Alessi & Marco Capasso & Giorgio Fagiolo, 2008. "The Distribution of Consumption-Expenditure Budget Shares. Evidence from Italian Households," Papers on Economics and Evolution 2008-09, Philipps University Marburg, Department of Geography.

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