Consumption and Trend Patterns
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Abstract
America’s apetite, like its population, is always changing. This paper will discuss the consumption trend analysis of food and how it reflects to the growing population in the United States.
Consumption Trend Patterns
Consumption is defined as the value of goods and services bought by people. Individual buying acts are aggregated over time and space. (Piana, 2001). Many persons judge the economic performance of their country mainly in terms of consumption level and dynamics. The United States population is wealthier, older and more educated in these times. It is stated in an article published by the USDA that US demographic changes are likely to become more demographic in the years to come.
The Economic Research Service (ERS) has undertaken an extensive effort to project how population growth, an aging population, ethnic diversity, and income growth will affect future food choices and how the food system will respond to such changes. Convenience and the demand for quick options that fit with time pressured lifestyles are clear catalysts behind the switch from cooking from scratch to using partly and fully prepared ingredients. A further driver is also the lack of knowledge and skills to prepare meals from scratch.
Few people want to spend time on domestic tasks like cooking from scratch and home cooking, choosing instead convenient options for the majority of occasions and cooking from scratch when they want to rather than when they need to. Over one in two (55%) choose to spend 30 minutes or less preparing and cooking their main meal with 1 in 10 (11%) spending less than 10 minutes. (Blisard, Lin, Cromartie, & Ballinger, 2002).
Time spent cooking a main meal
Source: IGD Consumer Research 2004
Income is the most significant factor determining the level of consumption. Changes in wealth and changes in the rate of interest have little impact on short term consumption. This means that the consumption function is relatively stable and so it is not subject to frequent large scale shifts.(Mayer, 2001). In the next twenty years, projections show that income growth will drive up future per capita food expenditures more rapidly that it will increase per capita quantities consumed for virtually all foods. (Blisard, Lin, Cromartie, & Ballinger, 2002) Consumers will spend extra discretionary income on quality and convenience, rather than quantity. Moreover, higher incomes, all other variable held constant, are likely to boost the consumption of fruits and vegetables, cheese and yogurt, and fish, while lowering consumption of pork, beef, other meant, and eggs.
Immigration now accounts for one-third or more of annual U.S. population growth, and those entering the country are more culturally diverse than in previous terms. Based on