Household Consumption Expenditures in Türkiye: Socio-Economic Determinants, Spending Patterns, and Policy Perspectives
Household consumption expenditures, which influence both short-term macroeconomic goals and long-term determinants of total factor productivity such as education, health, and cultural expenditures, are among the critical economic indicators for the Turkish economy. However, existing literature often...
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Ekonomi ve Finansal Araştırmalar Derneği
2025-06-01
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| Series: | Ekonomi, Politika & Finans Araştırmaları Dergisi |
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| Online Access: | https://dergipark.org.tr/tr/download/article-file/4708723 |
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| author | Dilek Başar Emre Yüksel |
| author_facet | Dilek Başar Emre Yüksel |
| author_sort | Dilek Başar |
| collection | DOAJ |
| description | Household consumption expenditures, which influence both short-term macroeconomic goals and long-term determinants of total factor productivity such as education, health, and cultural expenditures, are among the critical economic indicators for the Turkish economy. However, existing literature often relies on short time spans or limited theoretical frameworks, leaving significant gaps in understanding. This study aims to address these gaps by investigating the socio-economic determinants of household consumption expenditures in Türkiye from 2005 to 2019 using the Marshallian demand function. By merging data from the Household Budget Surveys and regional consumer price indices, a comprehensive dataset is constructed to explore how factors such as income, education, household size, and demographic composition shape spending behaviors across various categories. Additionally, negative binomial regression is employed to account for overdispersion in the data. Key findings reveal that higher-income households allocate more to discretionary expenditures, while lower-income groups prioritize essentials. Education emerges as a key determinant, driving investments in housing and education, with a non-linear effect on consumption patterns. Consumption growth peaks and then declines as household size and age increase, following an inverse U-shape. Additionally, in-kind assistance reduces overall spending by replacing direct expenditures, while mortgage loans constrain consumption due to financial burdens. Household type also plays a crucial role, as extended families benefit from shared resources, whereas single-parent households face financial strain. |
| format | Article |
| id | doaj-art-e0fb98cda6334f5a91051ae922d2e934 |
| institution | DOAJ |
| issn | 2587-151X |
| language | English |
| publishDate | 2025-06-01 |
| publisher | Ekonomi ve Finansal Araştırmalar Derneği |
| record_format | Article |
| series | Ekonomi, Politika & Finans Araştırmaları Dergisi |
| spelling | doaj-art-e0fb98cda6334f5a91051ae922d2e9342025-08-20T02:43:50ZengEkonomi ve Finansal Araştırmalar DerneğiEkonomi, Politika & Finans Araştırmaları Dergisi2587-151X2025-06-0110246748310.30784/epfad.1661884957Household Consumption Expenditures in Türkiye: Socio-Economic Determinants, Spending Patterns, and Policy PerspectivesDilek Başar0https://orcid.org/0000-0001-6501-8760Emre Yüksel1https://orcid.org/0000-0002-3884-6795HACETTEPE UNIVERSITYT.C. Cumhurbaşkanlığı Strateji ve Bütçe BaşkanlığıHousehold consumption expenditures, which influence both short-term macroeconomic goals and long-term determinants of total factor productivity such as education, health, and cultural expenditures, are among the critical economic indicators for the Turkish economy. However, existing literature often relies on short time spans or limited theoretical frameworks, leaving significant gaps in understanding. This study aims to address these gaps by investigating the socio-economic determinants of household consumption expenditures in Türkiye from 2005 to 2019 using the Marshallian demand function. By merging data from the Household Budget Surveys and regional consumer price indices, a comprehensive dataset is constructed to explore how factors such as income, education, household size, and demographic composition shape spending behaviors across various categories. Additionally, negative binomial regression is employed to account for overdispersion in the data. Key findings reveal that higher-income households allocate more to discretionary expenditures, while lower-income groups prioritize essentials. Education emerges as a key determinant, driving investments in housing and education, with a non-linear effect on consumption patterns. Consumption growth peaks and then declines as household size and age increase, following an inverse U-shape. Additionally, in-kind assistance reduces overall spending by replacing direct expenditures, while mortgage loans constrain consumption due to financial burdens. Household type also plays a crucial role, as extended families benefit from shared resources, whereas single-parent households face financial strain.https://dergipark.org.tr/tr/download/article-file/4708723hanehalkı tüketim harcamasısosyo-ekonomik belirleyicilertalep fonksiyonunegatif binominal regresyontüketici davranışıhousehold consumption expendituressocio-economic determinantsdemand functionnegative binominal regressionconsumer behavior. |
| spellingShingle | Dilek Başar Emre Yüksel Household Consumption Expenditures in Türkiye: Socio-Economic Determinants, Spending Patterns, and Policy Perspectives Ekonomi, Politika & Finans Araştırmaları Dergisi hanehalkı tüketim harcaması sosyo-ekonomik belirleyiciler talep fonksiyonu negatif binominal regresyon tüketici davranışı household consumption expenditures socio-economic determinants demand function negative binominal regression consumer behavior. |
| title | Household Consumption Expenditures in Türkiye: Socio-Economic Determinants, Spending Patterns, and Policy Perspectives |
| title_full | Household Consumption Expenditures in Türkiye: Socio-Economic Determinants, Spending Patterns, and Policy Perspectives |
| title_fullStr | Household Consumption Expenditures in Türkiye: Socio-Economic Determinants, Spending Patterns, and Policy Perspectives |
| title_full_unstemmed | Household Consumption Expenditures in Türkiye: Socio-Economic Determinants, Spending Patterns, and Policy Perspectives |
| title_short | Household Consumption Expenditures in Türkiye: Socio-Economic Determinants, Spending Patterns, and Policy Perspectives |
| title_sort | household consumption expenditures in turkiye socio economic determinants spending patterns and policy perspectives |
| topic | hanehalkı tüketim harcaması sosyo-ekonomik belirleyiciler talep fonksiyonu negatif binominal regresyon tüketici davranışı household consumption expenditures socio-economic determinants demand function negative binominal regression consumer behavior. |
| url | https://dergipark.org.tr/tr/download/article-file/4708723 |
| work_keys_str_mv | AT dilekbasar householdconsumptionexpendituresinturkiyesocioeconomicdeterminantsspendingpatternsandpolicyperspectives AT emreyuksel householdconsumptionexpendituresinturkiyesocioeconomicdeterminantsspendingpatternsandpolicyperspectives |