PRICE FLUCTUATIONS OF ESSENTIAL GOODS AND HOUSEHOLD CONSUMPTION ON PURCHASING POWER DURING THE COVID-19 PANDEMIC IN WEST JAVA

Abstract

This study aims to determine the extentof the influence of price fluctuations of essential Goods and household consumption on people's purchasing power since Covid-19. The research methodology is a quaitative-descriptive approach using secondary data obtained from the National PIHPS (Strategic Food Price Information Center) and the Central Bureau of Statistics Republic of Indonesia from the period 2020 - 2021. The results of this study indicate that the higher a person's income, the higher their purchasing power, and vice versa. Based on National PIHPS data, the highest price fluctuation occurred in December 2020 at 12.41% and the lowest price fluctuation occurred in July 2020 at 1.64%. If calculated from the average inflation value for the period 2020 to 2021, the price increase is classified as moderate, only 1.27% and 2.44%. In addition to prices, household consumption will affect the decline in purchasing power, namely since 2020 it has decreased by IDR 10,845 thousand rupiah compared to 2019 which was IDR. 11,152 thousand rupiah.