1. Consumption, savings and wealth
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Modelling household spending using a random assignment scheme

  1. Tony Lawson  Is a corresponding author
  1. University of Essex, England
Research article
Volume 6(2) Autumn 2013
Cite this article as: T. Lawson; 2013; Modelling household spending using a random assignment scheme; International Journal of Microsimulation; 6(2); 56-75. doi: 10.34196/ijm.00083
3 figures and 2 tables

Figures

Figure 1
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Share of expenditure (all households).
Figure 2
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Share of expenditure (older households and families with young children).
Figure 3
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Share of expenditure by quintile.

Tables

Table 1
Primary EFS expenditure categories.
Variable name EFS Household Expenditure Category Notes
P601t Food & non-alcoholic drinks
P602t Alcohol, Tobacco & Narcotics Alcohol to be consumed at home
P603t Clothing and Footwear
P604t Housing Fuel & Power Includes rent, maintenance of household, water and fuel bills.
Excludes mortgage costs
P605t Household Furnishings & equipment Includes carpets, curtains, household appliances, utensils and tools
P606t Health Prescriptions, glasses, dentist fees but not medical insurance
P607t Transport Purchase of vehicles, fuel, vehicle maintenance but not insurance
P608t Communications Mobile and fixed line telephone, postage but not internet subscription
P609t Recreation & Culture Television, computers, CDs, boats, caravans, pets, sports, holidays
P610t Education Course fees, school trips
P611t Restaurants & Hotels Includes takeaways, alcohol consumed outside the home and school meals
P612t Miscellaneous Includes insurance, jewellery, child care, fees, moving expenses
Table 2
Share of expenditure with increasing income (all households).
Expenditure Category Initial Share (%) Final Share (%) Shift in Budget Share (%) 95% Confidence Interval (+ −) α = 0.05, n = 3 Lower CI Upper CI
Transport 13.00 13.94 0.95 0.288 13.65 14.23
Education 1.48 2.31 0.82 0.242 2.07 2.55
Furniture 6.32 6.58 0.26 0.200 6.38 6.78
Miscellaneous 7.54 7.63 0.09 0.152 7.48 7.78
Health 1.24 1.31 0.07 0.033 1.28 1.34
Clothing 4.86 4.79 −0.08 0.095 4.70 4.89
Hotels 7.92 7.79 −0.13 0.007 7.78 7.80
Communication 2.46 2.1 −0.36 0.017 2.08 2.12
Recreation 12.26 11.89 −0.37 0.325 11.57 12.22
Alcohol 2.33 1.94 −0.39 0.039 1.90 1.98
Housing 9.94 8.92 −1.02 0.167 8.75 9.09
Food 9.81 8.14 −1.67 0.059 8.08 8.20

  1. The expenditure shares to not add up to 100% because some spending goes to other items not included in these categories.

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