Dwi Wulandari, Thomas Soseco, Mit Witjaksono, Bagus Shandy Narmaditya, Sugeng Hadi Utomo, Wahjoedi, Nur Anita Yunikawati, Emma Yunika Puspasari, Magistyo P. Priambodo
As house rent consumes large proportion of households expenditure, it probably reduce their ablity to consume other commodities, both food and non food. Also, high income inequality potentially reduce household ability to consume commodities. We tried to explore the relationship between house rent, income inequality, and households consumption. This research used Indonesian Family Life Survey (IFLS) data. The results are as house rent rises and income distribution is getting worse, households experienced lower expenditure, both for food and non food. And, worse income distribution drives to lower house rent. As a result, households experienced lower housing quality in term of reduced floor area.It is important to make less dense population in Java Island. Less dense population leads to weaker competition among households to obtain house. © 2017 Serials Publications Pvt. Ltd.
Faculty of Economics, Universitas Negeri Malang, Indonesia
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