Determinants of Entertainment and Apparel Expenditures in an American Household
Determinants of Entertainment and Apparel Expenditures in an American Household

Author(s): Belinda Luna-Pulido, Kruti Lehenbauer
Subject(s): Behaviorism, Evaluation research
Published by: Scientia Moralitas Research Institute
Keywords: Consumer behavior; household purchases; BLS DataSet; STATA 15; Regression Analysis; Log-Lin Regression;
Summary/Abstract: Distinct characteristics of households play an important role in the decisions made regarding expenditures. This study identifies what specific characteristics of households drive the decisions to make specific purchases such as entertainment and apparel using the Consumer Expenditure Survey Data from the Bureau of Labor Statistics (BLS, 2018) for the years 2016-17. First, we follow the log-lin regression model methodology to identify if there are clear disparities in purchasing decisions based upon the gender of the head of household (HH) and then present sub-models to identify the determinants of expenditures on apparel and entertainment for a household based upon characteristics such as income of the household, age of the head of the household, family size, number of children below age five in the household, number of earners in the household, education of the head of the household, and race and ethnicity of the head of the household as our primary independent variables. Primary model results show that there are clear differences in the determinants of total expenditures based on the sex of the head of the household. Our sub-models show that male-headed households spend more on entertainment, whereas female-headed households spend more on apparel than their counterparts.

• Details
• Contents