Saturday, July 12, 2025
  • Contact
Jobs in France
  • Home
  • Working in France
  • Jobs Available
  • Buying Property
  • Living in France
  • EU rules to work
No Result
View All Result
Jobs in France
Home Buying Property

Purchasing power: a relevant concept?

editor by editor
January 2, 2022
in Buying Property
Reading Time: 4 mins read
1
Purchasing power: a relevant concept?
0
SHARES
5
VIEWS
Share on FacebookShare on Twitter

[ad_1]

Discrepancy between emotions and statistics

The evaluations buying energy are sometimes perceived by households as too optimistic, regardless of the calculation by consumption items.

Agnès Bénassy-Quéré, economist of the Common Directorate of the Treasury, in a analysis published on November 15, 2021, quotes figures from the OFCE: between 2018 and 2022, a household of 4 (two dad and mom and two youngsters below 14, i.e. 2.1 UA) will expertise a rise in buying energy of 334 euros per 12 months and by CU, or three,500 euros cumulatively over 5 years. However why is that this achieve not felt extra?

One of many explanations is the dynamics of actual property costs, which weighs on the funds of 20% of the inhabitants (households within the means of residence possession). It’s only taken under consideration in buying energy by way of the hire index (40% of the inhabitants). One other clarification could be the latest will increase within the value of vitality.

Within the case of inflation, when re-labeling in euros, in 2002, it looks as if “the notion of value will increase has been extra acute for small, repeated purchases (bread, counter espresso, fruit and veggies, up) than for infrequent giant purchases (family home equipment, down) “. The official mixture indicators don’t all the time replicate the inflation felt by households.

With a view to reconcile the buying energy figures with the emotions of households, INSEE additionally calculates :

  • the buying energy by family class (the disposable revenue of the highest 20% of households is 4 instances larger than that of the underside 20%);
  • the buying energy per capita (to higher replicate common particular person conditions);
  • the arbitrable buying energy (after deducting pre-committed bills, the share of which has elevated considerably lately);

INSEE presents this discrepancy between statistics and feelings like a “misunderstanding, embodied by a perceived buying energy [qui] feeds largely on the confrontation between a nationwide whole and particular person conditions “. The calculation ofevolution of buying energy is a macroeconomic indicator Regarding all households and is due to this fact not appropriate for particular person conditions.

Criticisms of the tactic

One of many criticisms made by some economists in opposition to INSEE’s buying energy evaluation technique is to underestimate the consequences of inflation and the share of rents within the client value index. In accordance with INSEE, the weight of rents is low in the CPI the truth that this expense is zero for the homeowners. A broader inclusion of housing expenditure would have solely a restricted impression on the measurement of inflation.

Moreover, shopping for a house is taken into account an funding and never as a client expense. It’s due to this fact not taken under consideration within the CPI, though it weighs within the budgets of many households. Nevertheless, it is not uncommon for the worth of a house to extend over time.

The worth index, however, relies on a common basket which might keep in mind neither the habits nor the person constraints.

There’s an inherent restrict to the reasoning on common: regardless of the conference chosen, the proportion of households for which the buying energy doesn’t evolve as rapidly because the figures stays excessive. The common family doesn’t exist: some are homeowners, others not, the CPI encompasses these explicit realities with out having the ability to transcribe them precisely.

How you can act on buying energy?

The rise in buying energy is a recurring line within the applications of candidates for elections. However what are the technique of motion of politicians and elected officers?

The federal government has little management over the gross disposable revenue of households. The minimal wage is listed to inflation measured for the 20% of households with the bottom incomes. Its periodic revaluation is carried out on the premise of half of the buying energy achieve of the common hourly wage of employees and staff.

The federal government also can resolve on a “enhance” to the minimal wage; it’s then a political alternative. the latest, 0.6%, July 2012. It introduced a largely mechanical enhance to 2%. The “enhance” represented an hourly enhance of 5 euro cents.

[ad_2]

Source link

Related posts

Ces jeunes étrangers qui viennent vivre en France : de footballeur en Tunisie à chargé de communication en Provence – La Provence

They thought they were selling their house at 1.8 million euros, but the town hall blocks the sale to build social housing there – Ladepeche.fr

June 4, 2025
Ces jeunes étrangers qui viennent vivre en France : de footballeur en Tunisie à chargé de communication en Provence – La Provence

Real estate price in Paris in May 2025: indices for purchase and rental – Capital.fr

May 30, 2025
Previous Post

Philippe Léglise-Costa, on the front line for the French presidency of the European Union

Next Post

Mort du Kenyan Richard Leakey, chasseur de fossiles et défenseur des éléphants

Next Post
Mort du Kenyan Richard Leakey, chasseur de fossiles et défenseur des éléphants

Mort du Kenyan Richard Leakey, chasseur de fossiles et défenseur des éléphants

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

RECOMMENDED NEWS

This department is the one in which houses are the least expensive in France – less than 100,000 euros for 100 m² – Figaro Immo

These small Italian cities offer 1 euro houses, provided they renovate them – the French are welcome – Figaro Immo

3 months ago
Tournoi des 6 nations. Capuozzo va vivre son premier Italie – France – Le Dauphiné Libéré

4 bonnes raisons de regarder "Embarquez sur le GR 20" – France 3 Régions

2 years ago
38% of Reunion Islanders live below the poverty line

38% of Reunion Islanders live below the poverty line

5 years ago

IMF mission forecasts average economic growth for Niger of 7% for the next five years

6 years ago

FOLLOW US

  • 993 Followers
  • 139 Followers
  • 87.1k Followers
  • 194k Subscribers

BROWSE BY CATEGORIES

  • Buying Property
  • EU rules to work
  • Jobs Available
  • Living in France
  • Working in France
ca-pub-4683751899853596
ADVERTISEMENT
ca-pub-4683751899853596
ADVERTISEMENT

POPULAR NEWS

  • Revolut to migrate its British IBANs to Lithuanians before switching to French

    Revolut to migrate its British IBANs to Lithuanians before switching to French

    0 shares
    Share 0 Tweet 0
  • With French Kiss begins the webtoon with French sauce

    0 shares
    Share 0 Tweet 0
  • For a Valentine's Day full of com-passion

    0 shares
    Share 0 Tweet 0
  • Benjamin Samat (Les Marseillais) is leaving France to settle in Dubai!

    0 shares
    Share 0 Tweet 0
  • Montpellier. Tennis: Xavier Llongueras, ten years of Open Sud de France trophies

    0 shares
    Share 0 Tweet 0

About Site: Jobs in France

We bring you the best Premium Website that perfect for France living, working, job news blog. Read our categories posts for details.

Follow us on social media:

Recent News

  • They thought they were selling their house at 1.8 million euros, but the town hall blocks the sale to build social housing there – Ladepeche.fr
  • Students at Chu Van An University have the opportunity to study and work in France after a cooperation agreement with the city of Nevers. – Vietnam.vn
  • Longines Paris Eiffel Jumping – FranceTvPro.fr

Category

  • Buying Property
  • EU rules to work
  • Jobs Available
  • Living in France
  • Working in France

Recent News

Ces jeunes étrangers qui viennent vivre en France : de footballeur en Tunisie à chargé de communication en Provence – La Provence

They thought they were selling their house at 1.8 million euros, but the town hall blocks the sale to build social housing there – Ladepeche.fr

June 4, 2025
Ces jeunes étrangers qui viennent vivre en France : de footballeur en Tunisie à chargé de communication en Provence – La Provence

Students at Chu Van An University have the opportunity to study and work in France after a cooperation agreement with the city of Nevers. – Vietnam.vn

June 4, 2025
  • Contact

© 2024 Copyright - Premium Website for available Jobs in France. Jobs France .

No Result
View All Result
  • Home
  • Jobs Available
  • Buying Property
  • Living in France
  • EU rules to work
  • Working in France

© 2024 Copyright - Premium Website for available Jobs in France. Jobs France .