TY  - JOUR
T1  - Determinants of Households Consumption Expenditures; A Panel Data Analysis of 12 West
Africa Countries
AU - Fasakin, Idowu James AU - Salman, Kabir Kayode 
JO  - Journal of Economics Theory
VL  - 13
IS  - 3
SP  - 13
EP  - 18
PY  - 2019
DA  - 2001/08/19
SN  - 1994-8212
DO  - jeth.2019.13.18
UR  - https://makhillpublications.co/view-article.php?doi=jeth.2019.13.18
KW  - panel data
KW  -gross domestic product
KW  -Consumption expenditure
KW  -randomand fixed effect
KW  -HCE
AB  - Household consumption expenditure consists of all
the expenditures incurred by resident households on individual
consumption of goods and services, including those sold at prices
that are not economically significant. The poor consumption
pattern and high poverty rate in developing countries, especially,
West-Africa is a global concern. Hence, this study examined the
determinants of Households Consumption Expenditures (HCE) in
15 West-Africa countries using fixed and random effects to
compare the estimates. Data were obtained from the World
Development Indicators (WDI) and FAO STAT and cover the
period of 1995-2015. Results showed that Guinea Bissau have the
highest mean consumption expenditure with Gabon the lowest,
while Nigeria have the highest Gross Domestic Product (GDP)
with Gambia the lowest. Estimates from the analysis indicated that
the coefficients of total life expectancy and Gross national
expenditure were significant at 1% (p>0.001) while the coefficient
of health expenditure was significant at 5% (p>0.05) under fixed
and random effects. The negative coefficients of Gross Domestic
Product (GDP) showed that consumption power of individual
households is not influenced or determined by the GDP of the
country. The R<sup>2</sup> of 0.7071 signifies that 70.71% of the total
variation in consumption expenditure was explained by the
variables under consideration. It is therefore recommended that
West African countries should create an enabling environment to
the citizenry, so as to enhance more productiveness and engaging
the idle hands, so as to increase the Gross Domestic Product
(GDP).
ER  -