Impact of COVID 19 on Select Private Consumption Demand in Urban India: A Primary Survey Findings
The paper focusses on one of the aspects of the Covid 19 induced economic crisis in India .i.e. the consumption demand for non essential commodities which is an important component of the overall aggregate demand. As the number of Covid 19 positive cases are swelling up and lockdown is being phased out, this study, based on the primary survey of 900 plus individuals across various states, age, income and occupation groups in urban areas, has attempted to ascertain the consumer sentiment so as to predict the changes in private consumer spending during the current financial year on various items once the lockdown is completely lifted. These items include those that were 'planned' for during the year (for instance, electronics, real estate, automobiles, domestic travel) as well as 'discretionary' spending on retail and e commerce, wellness and hospitality services. The survey responses have been used to determine the timeframe of recovery for each sector through econometric analysis of the deferment in the expenditures for each sector.