Green Economics and Household Consumption in Maharashtra, India
Nandini Jagannarayan
*
Hindi Vidya Prachar Samiti's Ramniranjan Jhunjhunwala College of Arts, Science and Commerce (Empowered Autonomous), Ghatkopar, Mumbai–86, India.
R. Uma
Nirmala College for Women, Coimbatore, 641018, India.
*Author to whom correspondence should be addressed.
Abstract
This study examines household consumption behaviour in Maharashtra, India, through the lens of Green Economics and sustainable development. Using secondary data from the Centre for Monitoring Indian Economy Consumer Pyramids Household Survey for March 2024 and March 2025, the study analyses the relationship between household income, total expenditure, food expenditure, health expenditure, leisure expenditure, recreation expenditure, restaurant expenditure and vacation expenditure. The analysis applies descriptive statistics, comparative analysis, a correlation matrix, Chi-square association tests and ordinary least squares regression. A Green Economics Sustainability Index was constructed to assess the sustainability orientation of household expenditure, assigning positive values to welfare-enhancing expenditure on food and health and negative values to discretionary expenditure on vacation-related consumption. The findings show that household income and total expenditure increased between March 2024 and March 2025. Food and health expenditure also increased, indicating continued attention to welfare-oriented consumption. However, the Green Economics Sustainability Index declined from 45.70 in 2024 to 43.40 in 2025, suggesting a slight weakening of sustainability orientation alongside higher lifestyle-related expenditure. Correlation results show a positive relationship between income and total expenditure, while total expenditure and leisure expenditure are negatively associated with the sustainability index. The OLS regression results indicate that food and health expenditure contribute positively to sustainability orientation, whereas income and leisure expenditure show negative associations. The study concludes that income growth alone does not ensure sustainable consumption. Balanced expenditure allocation, with attention to welfare-enhancing categories and moderation in discretionary consumption, is important for improving household sustainability orientation in Maharashtra households overall.
Keywords: Green economics, sustainable development, household consumption, Maharashtra, CPHS, expenditure behaviour, welfare-oriented consumption, discretionary expenditure, Green Economics Sustainability Index, OLS regression