Consumption Pattern Theory
Consumption Pattern in Tamilnadu with Reference to Permanent Income Hypothesis
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The link between the consumer expenditure and the income is one of the established relationship in macro economics. Since consumption is one of the components of aggregate demand, it depends on nation income. Friendman s book on the consumption function is one of the great works of economics demonstrating how the interplay between theoretical ideas and data analysis could lead to major policy. Friendman asserts that consumption is determined by long term expected income rather than current level of income. It is this long term expected income which is called by Frienman as permanent income. Th...
The link between the consumer expenditure and the income is one of the established relationship in macro economics. Since consumption is one of the components of aggregate demand, it depends on nation income. Friendman s book on the consumption function is one of the great works of economics demonstrating how the interplay between theoretical ideas and data analysis could lead to major policy. Friendman asserts that consumption is determined by long term expected income rather than current level of income. It is this long term expected income which is called by Frienman as permanent income. This book aims to bring together several empirical, conceptual, analytical and theoretical studies on the field of consumption pattern of Tamil Nadu with Friendman permanent income theory. I hope this volume will help the researcher and students are understand the importance of consumption theory and promote their research interest on the field of theoretical aspects of consumption pattern of individual.
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