the place of residence has little effect on the standard of living of the French

From 2018, the movement of yellow vests has brought to the fore the question of territorial fractures in France in economic, social, political or cultural matters. Since then, the debates around “peripheral France” have fueled reflections on life in the territories, with in particular the idea of ​​a gap between the regional metropolises, which would have accumulated wealth, and the more rural areas, which would have paid this trend through desertification and impoverishment.

In fact, depending on where they live, French households face different prices, particularly in terms of housing and transport. In two notes published Thursday, February 16, France Strategy contributes to these reflections on the links between place of life and purchasing power of households. Both are based on the latest INSEE “family budget” survey, from 2017.

The Paris region, an exception in housing expenditure

The first questions the way in which the level of household expenditure varies according to the territories. For the authors, the commonly held hypothesis that transport and housing expenditure differs according to the size of the agglomeration and the place of residence of the households – in the center or on the outskirts – is confirmed: “We observe, on average, relatively large differences in expenditure from one location to another. For example, on the outskirts of large urban areas, the cumulative expenditure on transport and housing is 15% higher than in the centers of medium-sized urban areas. »

But the study shows that these differences primarily reflect disparities in average income, and not differences in place of living: “With given resources and family configuration, households spend fairly similar amounts, from one territory to the another, to transportation and accommodation expenses taken together. As often, however, the Paris region is an exception: due to the high price of real estate, a household will have a significantly higher cumulative cost of transport and housing than a comparable household living elsewhere in France.

To extend, the second study seeks to know where the most financially comfortable households live, and those who have the most difficulty making ends meet. To do this, the authors have constructed an indicator of financial well-being: the “rest to be spent” of a household, once food, housing and transport have been paid for.

Social, political and cultural estrangement

Result: it is in the Paris region, where the average level of household resources is the highest, that their “rest to be spent” is also, and by far: approximately €1,150 per month and per consumption unit ( 1). To be compared with €880 in the center of employment zones – the spaces within which most workers live and work – or €850 in municipalities that are more than 30 km away.

And there, the conclusions of the first study are verified: it is first of all the differences in resources that explain the differences in “rest to be spent” from one territory to another. It does not cost more for a household to live on the outskirts of an employment zone than in its center because transport and housing expenses tend to offset each other – except, once again, in the Paris region. .

These two fascinating studies are far from exhausting the subject. Their observation only applies to the price structure observed in 2017. In the meantime, there has been the rise in energy prices“which has a much stronger impact on households who have to take their car to get around, or whose housing expenditure incorporates a strong energy component”, underline the authors.

Finally, this analysis does not look at the difficulties that households residing on the outskirts of metropolitan areas may experience. As the authors point out, “geographical remoteness, whether chosen or suffered, can be coupled with social, political or cultural remoteness which undoubtedly weighs more heavily in the emergence of the protest movement than purely financial questions”.

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The “family budget” survey

The INSEE “family budget” survey provides an estimate of the average consumption of different goods and services: it therefore helps to develop the household account, as well as the weights of the price index.

The main interest of this investigation is that it makes it possible to compare the consumption structures of the various categories of households. The next edition, which will replace that of 2017, is expected in 2024.

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