CONSUMPTION PREFERENCES STRUCTURE OF GREEK HOUSEHOLDS

The alternative Engel's curves have already been used as a classical method for the analysis of household budgets. Engel's equations have been used to derived income elasticities for a system of four types of commodities. Besides the income and its effects, there are many other socio-economic characteristics which influence the consumption of commodities. Especially for energy, socio-economic characteristics have a great influence on consumption. A principal components analysis method is used for the investigation of the influence household characteristics have on consumer preferences. The residuals from the income influence are analysed in principal components. The aim of this analysis is to reveal the preference structure of Greek households as well as the correlation of this structure with the different socioeconomic characteristics. © 1991.