Economic Characterization of Low Income Families in the City of Sao Paulo Using Electricity Consumption As a Predictive Variable

This study examines the relationship between energy consumption and family income in the city of Sao Paulo, with 384 low income households sampled in a field survey in 2005. Using decision trees and multiple regression, the energy consumption was tested as a variable to complement Brazil’s Criterion for Economic Classification to predict family purchasing power. The combined used of the Criterion, the electric bill amount, and the number of bedrooms shows an improvement from 0.222 to 0.300 in the explanatory power of the model, which may be useful to retailers, government planners and financial agents in understanding socio-economic characteristics.



Citation:

Eduardo Francisco, Eric Cohen, Felipe Zambaldi, and Francisco Aranha (2008) ,"Economic Characterization of Low Income Families in the City of Sao Paulo Using Electricity Consumption As a Predictive Variable", in LA - Latin American Advances in Consumer Research Volume 2, eds. Claudia R. Acevedo, Jose Mauro C. Hernandez, and Tina M. Lowrey, Duluth, MN : Association for Consumer Research, Pages: 219-221.

Authors

Eduardo Francisco, FGV, Brazil
Eric Cohen, Ibmec, Brazil
Felipe Zambaldi, UMESP, Brazil
Francisco Aranha, FGV, Brazil



Volume

LA - Latin American Advances in Consumer Research Volume 2 | 2008



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