At the time of the 2024 census: what are the determining factors of consumption?

HIBAPRESS-RABAT

Consumption depends on strong social determinants, such as the desire to belong and demonstrate. A population includes different classes or social groups, that is, individuals sharing the same consumption habits or identical social behaviors.

A population comprises different classes or social groups, that is, individuals sharing the same consumption habits or identical social behaviors. Consumption then becomes decisive in demonstrating membership in a social group.

Through consumption, the individual marks his belonging. The desire to demonstrate responds to the same determinant but this time the individual will consume to imitate a social group to which he would like to belong. We speak of a sign effect.

Consumption does not depend on short-term changes in income. Households will modify their consumption or savings behaviors based on memory of the past and anticipation of the future: consumption or savings behaviors therefore depend both on current income, but also on the highest level of past income.

Therefore, a sudden increase in income does not automatically lead to an increase in consumption. The individual will take into consideration his past income and his income expectations.