Socio-economic Analysis of Consumption Patterns of Nepalese People

Low infrastructural development coupled with high population growth has made the lives of many poor people very difficult. The population growth to the southern plain area is remarkably higher, due primarily to the internal migration from the high land. The study relates the consumption patterns with income and employment of the people of the targeted area (study area) at different topographical situation. The country Nepal has been purposively selected for conducting the study due to incumbent's nativeness to the country. Similarly Arghakhanchi district under the Zone of Lumbini has been also purposively selected. In the third phase, Argha, Village Development Committee (VDC), has been selected purposively to conduct the study. Wide range of variation on educational expenditure has been observed in different income groups of farm households. Thus, it could be said that benefits of knowledge and education goes to higher income group of rural households. It could be said that benefits of knowledge and education goes to higher income group of rural households. Similar, trends have been observed in case of medical expenses. Other expenditure also shows direct relationship with level of income. The income elasticity of demand for food overall is 0.40 which means that the 0.41 percent change in demand for food, if 1 percent change in the income.