{"id":3627,"date":"2011-09-14T05:00:12","date_gmt":"2011-09-14T09:00:12","guid":{"rendered":"http:\/\/marcfbellemare.com\/wordpress\/?p=3627"},"modified":"2011-09-11T09:51:07","modified_gmt":"2011-09-11T13:51:07","slug":"engels-law-still-holds-for-the-poor","status":"publish","type":"post","link":"https:\/\/marcfbellemare.com\/wordpress\/3627","title":{"rendered":"Engel’s Law Still Holds for Food in the US"},"content":{"rendered":"

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From the US Department of Agriculture’s Economic Research Service:<\/p>\n

In 2006, households in the lowest income quintile spent 32.0 percent of their income on food. The 2007-09 recession led to increases in this already high share. Food spending as a share of income for households in the lowest income quintile grew to 35.6 percent in 2009\u2014putting further pressure on thin budgets. Over the same period, food spending as a share of income declined for middle-income households from 12.5 to 11.9 percent and remained flat for the highest income quintile at 6.8 percent.<\/p>\n

More\u00a0here<\/a>.<\/p>\n

A colleague once submitted a paper for publication in which he did a considerable amount of empirical work to show that the quantity demanded of a good he was studying decreased as the price of the same good increased. The referee reports came back, and one of the referees sarcastically noted: “I guess it is always reassuring to discover that demand curves are still<\/em> downward sloping…”<\/p>\n

I guess it is reassuring to note that the cross-sectional version of\u00a0Engel’s Law<\/a> — the amount of income spent on food increases as income rises, but\u00a0the proportion of income spent on food falls as income rises — still holds in the US?<\/p>\n","protected":false},"excerpt":{"rendered":"

                        From the US Department of Agriculture’s Economic Research Service: In 2006, households in…<\/p>\n

Continue readingEngel’s Law Still Holds for Food in the US<\/span><\/a><\/div>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[26,12],"tags":[],"class_list":["post-3627","post","type-post","status-publish","format-standard","hentry","category-food","category-policy","entry"],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/p1gPg8-Wv","_links":{"self":[{"href":"https:\/\/marcfbellemare.com\/wordpress\/wp-json\/wp\/v2\/posts\/3627","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/marcfbellemare.com\/wordpress\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/marcfbellemare.com\/wordpress\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/marcfbellemare.com\/wordpress\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/marcfbellemare.com\/wordpress\/wp-json\/wp\/v2\/comments?post=3627"}],"version-history":[{"count":18,"href":"https:\/\/marcfbellemare.com\/wordpress\/wp-json\/wp\/v2\/posts\/3627\/revisions"}],"predecessor-version":[{"id":3734,"href":"https:\/\/marcfbellemare.com\/wordpress\/wp-json\/wp\/v2\/posts\/3627\/revisions\/3734"}],"wp:attachment":[{"href":"https:\/\/marcfbellemare.com\/wordpress\/wp-json\/wp\/v2\/media?parent=3627"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/marcfbellemare.com\/wordpress\/wp-json\/wp\/v2\/categories?post=3627"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/marcfbellemare.com\/wordpress\/wp-json\/wp\/v2\/tags?post=3627"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}