Economic Recession and Changing Consumption Patterns: Evidence from Lagos Metropolis.

  • Suraju Abiodun Aminu Lagos State Polytechnic, Ikorodu, Lagos state, Nigeria
  • Oluwakemi Oludotun Oyefesobi Moshood Abiola Polytechnic, Abeokuta, Ogun state, Nigeria.

Abstract

After two consecutive quarters of a negative growth rate in the Nigeria's gross domestic products (GDP), Nigeria was declared to be technically in a recession by the end of the second quarter of 2016. In addition to the review of the literature, a survey was also undertaken, involving 421 shoppers in the three outlets of Shoprite in Lagos metropolis, selected by a systematic sampling technique. Based on a dataset from the 421 respondents, the paper conducted a statistical analysis to detect the changes in the consumption patterns of the shoppers due to the current economic crisis in the country. Results of the correlation analysis showed that the current economic crisis in the country has significantly affected consumption patterns of majority of the respondents. The crisis has led a large number of respondents to substantially reduce consumption of luxury products and a simple majority to slightly reduce consumption of necessities. It was concluded that the recession has affected the purchasing power of consumers thus, leading to the changes in their consumption patterns. Both the policy and managerial implications of the finding were highlighted in the paper.


Keywords: Business cycle, consumption patterns, consumers and economic recession.

Published
2018-06-24
How to Cite
AMINU, Suraju Abiodun; OYEFESOBI, Oluwakemi Oludotun. Economic Recession and Changing Consumption Patterns: Evidence from Lagos Metropolis.. KIU Journal of Humanities, [S.l.], v. 3, n. No. 2, p. 67-79, june 2018. ISSN 2522-2821. Available at: <https://ijhumas.com/ojs/index.php/kiuhums/article/view/295>. Date accessed: 22 jan. 2022.