Two-earner households and expenditures on time-saving services : impacts of economic recession in Taiwan

The objective of this study is to examine how Taiwanese consumer attitudes and behavior towards time-saving services would change due to the ongoing economic crisis of 2008. Survey results show the mean monthly expenditures on food away from home and personal care were NT$2,618 and NT$924 after economic crisis, respectively. Those two figures were lower than NT$4,872 and NT$1,019 before economic recession occurred. 64 percent of working wives prepared more home-cooking meals for dinner. 52 percent of working wives were more willing to go online shopping for a cheaper price after economic recession occurred. The estimation results of Tobit analysis indicate that households with wives working less hours purchased less meals away from home. Households with husbands working more hours, howerver, spent less for food away from home. The unearned income and wage rates of the wife and husband were not significant in determining household expenditures on food away from home. The results show also families with working wives aged 31-40 and over 51 spent more on food away from home than those with working wives aged 21-30. Families with wives attaining some graduate education or more spent more on food away from home and personal care than those with wives who received some college education or were college graduates. And, home owners spent more on meal purchases and personal care than renters.

time-saving services

household production function

tobit analysis

economic recession

Taiwan