How does the hike in bazar prices during Ramadan affect the purchasing power of households in the region?
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The increase in bazaar prices during Ramadan can impact the purchasing power of households in the region. Studies have shown that during Ramadan, there is a significant rise in consumer prices, particularly in food items . However, this inflationary trend is not solely due to exogenous shifts in prices by producers and retailers but is possibly a result of increased demand following income redistribution . This surge in demand can lead to a decrease in the purchasing power of households as they may need to spend more on essential goods during this period. Therefore, the hike in bazaar prices during Ramadan can strain the purchasing power of households in the region, affecting their ability to buy goods and services at the same level as before the price increase.
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Open access•Journal Article 3 Citations | The increase in bazaar prices during Ramadan may impact household purchasing power due to heightened economic volatility, potentially leading to post-Ramadan excessive economic activities affecting affordability. |
Open access•Posted Content | The research paper investigates the impact of Ramadan on price movements in Pakistan, suggesting a potential rise in the general price level during this month, which could affect the purchasing power of households. |
| Not addressed in the paper. | |
12 Citations | Not addressed in the paper. |
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