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Squandering Remittances Income in Conspicuous Consumption?

In: 30 Years since the Fall of the Berlin Wall

Author

Listed:
  • Jakhongir Kakhkharov

    (Flinders University)

  • Muzaffar Ahunov

    (Woosong University)

Abstract

We investigate the impact of remittances from labour migrants on household expenditures in Uzbekistan by comparing mean expenditures and using unique, nationally representative survey data. The results provide evidence that remittance-receiving households spend more on wedding ceremonies, gifts, and non-food expenditures. Most of these expenditures have the purpose of increasing the households’ social status, so they could be classified as manifestations of conspicuous consumption in order to display wealth and income, rather than to cover the consumer’s investment needs.

Suggested Citation

  • Jakhongir Kakhkharov & Muzaffar Ahunov, 2020. "Squandering Remittances Income in Conspicuous Consumption?," Palgrave Studies in Economic History, in: Alexandr Akimov & Gennadi Kazakevitch (ed.), 30 Years since the Fall of the Berlin Wall, chapter 0, pages 271-288, Palgrave Macmillan.
    • Handle: RePEc:pal:palscp:978-981-15-0317-7_12
    DOI: 10.1007/978-981-15-0317-7_12
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