Household Consumption Patterns

Consumption: It refers to the use of goods and services for the satisfaction of human wants. In other words it is the destruction of utility. Consumption of an item can be measured either in terms of quantity or in terms of value. Consumption of items does not necessarily convey the same meaning. Some items can be consumed only once while some others can be consumed repeatedly.

Consumption Function: Relationship between aggregate consumption and aggregate income. ‘Consumption function’ or ‘propensity to consume’ means the whole of the schedule showing consumption expenditure at various levels of income. It tells us how consumption expenditure increases as income increases. The consumption function or propensity to consume, therefore, indicates

This is because the NSSO, which is the only official agency that collects such data for the whole country, does not generally publish data separately for rural areas. Most of the studies on consumption pattern of rural people are based on secondary data and concentrate on their educational and occupational structure and deal with its effects on their welfare. While studies done on the consumption expenditure among rural and urban households for various expenditure classes, little effort has been made to study the consumption expenditure pattern within rural sector. On the other hand the study on household consumption expenditure pattern is very important as it is related to poverty and standard of living of our society. It is necessary to study the changes in food consumption pattern under the changing situations of liberalisation, privatisation and globalisation. The analysis of changing consumption pattern over time would help in designing appropriate policies related to food production and distribution. It is an excellent indicator of economic wellbeing of people. If the society is wealthy proportionately high expenditure will be made on secondary necessities, comfort, and luxury products and conspicuous consumption. On the other if the society is at substance level, people will spend proportionately more on food. The study of pattern of consumption expenditure

 To compare the consumption expenditure of selected food-non food items between rural and urban households.
 To examine the impact of income, education and occupation on consumption pattern of food and non- food items in rural and urban households.
1.9 Hypothesis of the Study
1) The consumption pattern of food and non- food items in rural and urban Haryana has increased significantly
2) Demographical characteristics has influenced the consumption pattern of food and non- food items in Haryana.

3) There is a significant difference in the food and non- food expenditure in rural and urban areas of Haryana.

1.10 Methodology of the