Is there a gender difference in accurately predicting the sign of growth in durables spending?

Abstract

ABSTRACTThe answer is yes, according to the Michigan Surveys of Consumers (MSC) data. A survey question under the ‘Household durables buying conditions’ category asks: ‘About the big things people buy for their homes – such as furniture, a refrigerator, stove, television, and things like that. Generally speaking, do you think now is a good time or a bad time for people to buy major household items?’ Using the individual responses, the MSC calculates a balanced index representing consumer durable buying attitudes separately for all, female, and male participants in addition to those in the lower 33%, middle 33%, and upper 33% income categories. We show that only the change in female durable buying attitudes accurately predicts the sign of growth in durables spending.