Apparel and Food Expenditure in Korea and the U.S.

This study was designed to investigate influences on apparel expenditure and to analyse general income and expenditure, especially an apparel and food, in Korea and the U.S., over a specified period. Data from 1995 to 2009 were analysed, using a standard statistical package and comparisons were made of expenditure on clothing and related products in both Korea and the U.S. Variations in exchange rate were taken into account also, as were seasonal variations. Apparel expenditure in terms of U.S. dollars showed a drastic decline in 1998, while apparel expenditure in Korean won in 2008 actually increased. Using time series decomposition analysis, it was found that apparel expenditure in terms of Korean won and U.S. dollars had a seasonal pattern. From the analysis of the ratio of apparel and food expenditure to total income, it was found that consumers control and reduced their purchases on apparel and food.