The Effects of Inflation on the Daily Needs of Customers in San Juan Public Market

Authors

  • Sheryl Guerra

Keywords:

Goods, Inflation, Customers, Daily needs, Market, Prices

Abstract

INTRODUCTION

Consumers modestly grow their spending. Inflation is back after a long post-crisis stint of disinflation and in some instances outright deflation. One of the most affected by inflation are the consumers who composed products for the daily needs. Consuming buying power means how the people spend money on goods and services or purchase the product on a specific availability of money and wages. Every person wants to spend money for his basic needs, luxuries and entertainment but it changes every year because of inflation. The study aimed to know the effects of inflation that consumers of San Juan, Batangas experience in buying their daily needs. The research sought to determine if there is a significant relationship between the profile of the respondents and the effects of inflation towards the respondents' daily needs.

 

METHODS

The descriptive method of research was used to know the effects of inflation on the daily needs of the customers. This study was conducted to 65 customers of San Juan Public Market through random sampling. Statistical tools used in the study were composite mean, ranking, and weighted mean.

 

RESULTS

The study revealed that most of the consumers of San Juan Public Market were greatly affected by inflation. Unemployed customers in the market suffer most in buying goods with higher prices. It only implies that majority of customers do not have stable job. No matter how much they spend it for their daily needs. High number of consumed goods indicates that those products are the primary necessities of people. The return of inflation for goods and services other than foods and energy also contributed to the upturn in the indexes for intermediate-demand and final demand goods.

 

DISCUSSIONS

Based on the result of the study the consumers face the difficulties brought by inflation. They need to be wise in budgeting and spending of money in order for them to escape from famine. Customers become concerned about the increase in uncertainly in an economy long term real economic growth that may become depressed. People tendency during inflation is to hoard goods. In that case purchasing of currency fall at ever faster rate. As inflation pushes the prices of goods and services higher, it also positively correlated with higher wages. A tight job market might lead to wage growth which is seen as one of the causes of inflation. In this case, a tight job market might lead to wage growth.

Published

2019-01-18