Farm Household Consumption Patterns

Gordon L. Carriker, Allen Featherstone and Ted Schroeder

Review of Agricultural Economics, 1993, vol. 15, issue 1, 63-73

Abstract: Changes in farm household expenditures during periods of volatile farm incomes impact rural communities and main street businesses. This study investigates the sensitivity of expenditures for nine consumption items to changes in total consumption expenditures and to changes in the cost of those items. The results indicate that during poor income years, rural businesses dealing in recreation, charitable contributions and gifts, education, furniture, and household maintenance are most likely to experience decreased revenues from farm households. Farm household expenditures for household operations, education, automobile maintenance, and medical care are most sensitive to price changes.

Date: 1993
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