Abstract
This study was conducted to examine and understand the behavior of low income households (B40) which are defined as households with income below RM3800. The data was collected from face to face interview based on structured questionnaire to cover 124 head of household (respondents) randomly selected in the Kubang Pasu district. The results show that most respondents spend their income on food items. Household heads are mostly employed in the agriculture, forestry & fisheries sector (27%) and most of them have an income lower than RM2000. The respondents also stated that they do side jobs and have to be frugal to cope with the rising cost of living. Nearly all (92.7%) of household heads received government assistance, particularly BR1M and a majority found that the assistance received was at a moderate level of satisfaction. There are many suggestions given by the household to overcome the rising cost of living such as eliminating the Goods and Services Tax (GST), increasing the amount of government assistance and controlling the prices of goods and fuel.
Highlights
There are many suggestions given by the household to overcome the rising cost of living such as eliminating the Goods and Services Tax (GST), increasing the amount of government assistance and controlling the prices of goods and fuel
Cost of living is divided into two main categories, namely daily cost of living and seasonal cost of living (Shaharudin Idrus, 2016)
Datuk Redzuan Othman involving 4468 respondents throughout Malaysia found that 82 per cent of the respondents agreed that the GST introduced in April 2015 has resulted in rising cost of living and they rejected the implementation of the GST (Sinar Harian, 2017)
Summary
Cost of living is divided into two main categories, namely daily cost of living and seasonal cost of living (Shaharudin Idrus, 2016). Seasonal cost of living is the cost incurred during certain seasons such as costs incurred during festive seasons, wedding ceremonies, or at the beginning of the school year. Such costs provide additional burden to low-income individuals (Shaharudin Idrus, 2016). There are various factors that can cause rising cost of living. Changes in taste and technology contribute to the rising cost of living. Datuk Redzuan Othman involving 4468 respondents throughout Malaysia found that 82 per cent of the respondents agreed that the GST introduced in April 2015 has resulted in rising cost of living and they rejected the implementation of the GST (Sinar Harian, 2017)
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