Household Size Economies: Malaysian Evidence

Penny Mok, Gillis Maclean () and Paul Dalziel ()
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Gillis Maclean: Lincoln University, PO Box 84, Lincoln 7647 New Zealand
Paul Dalziel: AERU Research Unit, Lincoln University, PO Box 84, Lincoln 7647 New Zealand

Economic Analysis and Policy, 2011, vol. 41, issue 2, 203-223

Abstract: People live in households with different size and composition and they consume a variety of goods; categorised as private and public goods. With the existence of public goods in the household, doubling the household size need not increase the consumption expenditure twofold to maintain the same standard of living. Using households’ per capita expenditure from the Household Expenditure Survey 2004-2005, we estimate the household size economies indices for household consumption goods through the Seemingly Unrelated Regression. The results suggested that the lower income households enjoy savings from a wider range of public goods compared to the higher income households.

Keywords: Household size economies; Seemingly Unrelated Regression; household composition; public goods; Malaysia. (search for similar items in EconPapers)
Date: 2011
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