60
Table 10.4
Difference in mean income and expenditure
Household
’s Primary
income
(monthly)
Household
’s
Secondary
income
(monthly)
Househol
d routine
expenses
(monthly
)
Travel
expenditu
re
(monthly)
Educatio
n
(yearly)
Health
(yearly
)
Festiva
ls
(yearly)
Events
(yearly
)
Mean
TN
13933.33
4336.86
5004.70
1472.21
25658.7
8624.2
4
7487.09
6926.0
8
Mean
KAR
13706.33
4937.50
4548.67
983.62
12720.28 5142 9578.33
4747.0
3
Differen
ce
226.99
-600.64
456.04
488.59
12938.42 3482.2
4
-
2091.25
2179.0
5
t-stat
0.28
-0.26
2.23**
5.22***
6.95***
3.64**
*
-
3.83***
2.62**
*
** <0.05
***<0.01
Table 10.4 shows that though there is no significant difference in the average income
between Tamil Nadu and Karnataka, both primary and secondary, there is significant
difference in all expenses, both routine as well as yearly. This could be one important
reason why members in Tamil Nadu increased their mandated savings amount to more
than double as compared to Karnataka (from earlier chapters). We can therefore say with
some certainty that the small mandated savings did have an impact on members who
found the power of compounding or “low frequency” savings to meet their lumpy yearly
expenditure
