Working Papers

This study examines 2022?23 consumption data to identify changes in patterns and growth since 2011?12, with an emphasis on inequality between income groups. As incomes rise, spending shifts from necessities including food and fuel to non-food items such as healthcare, durable goods, and education. Rural diets are shifting from staples to processed foods and fruits, whereas urban households are spending more on non-essentials. Non-food items are driving real MPCE growth, particularly in rural lower and middle deciles. Inequality has narrowed, particularly in rural areas, although disparities remain in discretionary spending in urban settings. Improved access to essentials signals rising living standards across income groups.