English, Article, Journal or magazine article edition: Consumption patterns and the black middle class: The role of assets Sihaam Nieftagodien; Servaas van der Berg

User activity

Share to:
 
Bookmark: http://trove.nla.gov.au/version/54083
Physical Description
  • preprint
Language
  • English

Edition details

Title
  • Consumption patterns and the black middle class: The role of assets
Author
  • Sihaam Nieftagodien
  • Servaas van der Berg
Physical Description
  • preprint
Notes
  • Black consumption patterns differ from those of whites, even when considering income levels and household size. This applies particularly to the black middle class, the subject of intense public interest. This paper postulates that this difference results not from cultural differences in taste for middle class goods, but from an asset deficit experienced by blacks. We test this hypothesis using regression analysis based on the 2000 Income and Expenditure Survey. Once assets are considered, consumption of middle class goods by blacks even exceeds those of whites. One would then expect blacks to exhibit, compared to whites, (i) an asset deficit, (ii) an asset preference in purchases (to reduce the deficit), and (iii) a lag in consuming other middle class goods (if the asset deficit is not considered). Descriptive evidence, mainly graphical, from the All Media and Products Survey (AMPS) of 2004 provides support for the main hypothesis. This implies that, for black accruals to the middle class, a stage of asset accumulation would precede a stage of middle class consumption. But once assets have been acquired, the shift in consumption may be quite rapid. There may therefore remain two distinct groups of black middle class consumers: The established middle class (currently still quite small), who have accumulated assets and whose consumption patterns therefore would resemble those of whites; and the new middle class, who may prefer spending to acquire assets.
  • Market definition, Delineation, Quantitative, Stationarity tests, Prices, Geographic, SSNIP, Hypothetical monopolist, Competition, Unit root, Price ratio, Antitrust
  • RePEc:sza:wpaper:wpapers33
Language
  • English
Contributed by
OAIster

Get this edition

Other links

  • Set up My libraries

    How do I set up "My libraries"?

    In order to set up a list of libraries that you have access to, you must first login or sign up. Then set up a personal list of libraries from your profile page by clicking on your user name at the top right of any screen.

  • All (1)
  • Unknown (1)
None of your libraries hold this item.
None of your libraries hold this item.
None of your libraries hold this item.
None of your libraries hold this item.
None of your libraries hold this item.
None of your libraries hold this item.
None of your libraries hold this item.
None of your libraries hold this item.

User activity


e.g. test cricket, Perth (WA), "Parkes, Henry"

Separate different tags with a comma. To include a comma in your tag, surround the tag with double quotes.

Be the first to add a tag for this edition

Be the first to add this to a list

Comments and reviews

What are comments? Add a comment

No user comments or reviews for this version

Add a comment