A Study On Income Inequality Affects Consumer Spending Patterns: Higher Income Groups Vs Lower Income Groups

• Author(s):

  Manoharan Prajana | Dr. M.D.Chinnu

• Keywords:

  Income, Inequality, Consumer, Spending Patterns, Lower-income, Higher-income, Economic Growth, Luxury Goods, Necessity Goods, Equitable Distribution.

• Abstract:

  This Paper Explores The Intricate Relationship Between Income Inequality And Consumer Spending Patterns, Shedding Light On The Dynamic Nature Of Consumer Behaviour In Response To Fluctuations In Personal Finance. Income, Being A Central Determinant Of An Individual’s Purchasing Power, Plays A Pivotal Role In Shaping The Consumption Patterns And Preferences Of Consumers. A Widening Gap In Income Distribution Leads To Distinct Consumption Behaviors Across Different Income Groups, With Higher-income Individuals Tending To Spend More On Luxury Goods And Services While Lower-income Individuals Prioritize Basic Necessities, Ultimately Shaping Market Dynamics And Influencing Overall Economic Activity Due To Differing Propensities To Consume Across Income Levels. This Study Examines How Income Inequality Significantly Patterns, Highlighting That A Wider Income Gap Leads To Distinct Consumption Behaviors Between High And Low-income Groups. This Study Examines The Complex Relationship Between Consumer Buying Habits And Income Inequality, Illuminating How Consumers' Conduct Is Dynamic In Reaction To Changes In Personal Financial Circumstances.

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Other Details

• Paper id:

  IJSARTV11I4103190

• Published in:

  Volume: 11 Issue: 4 April 2025

• Publication Date:

  2025-04-18

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