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A Study on Evolution of Consumption Structure of Jiangxi Urban Residents

Author: LiuYu
Tutor: LinHongBin
School: Jiangxi Normal University
Course: Economic History
Keywords: Jiangxi urban resident consumption economic growth empiricalanalysis
CLC: F126.1
Type: Master's thesis
Year: 2013
Downloads: 50
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Abstract


Under the background of global financial crisis caused by the US Sub-primeMortgage Crisis,“to maintain growth, expand domestic demand, adjust economicstructure” has become the primary task of the China economic development in thisstage. Jiangxi “12th Five-Year Plan” clarifies that to expand domestic demand as theguidance, strengthen consumption ability, potential of consumption in consumptionpromoting sound and rapid economic development in jiangxi province. Urbanresidents in Jiangxi province as the mainstay of consumption, consumption situationin Jiangxi province plays a decisive role.Since the reform and opening up, China has experienced a shift from plannedeconomy to market economy. At the same time, the consumption level of urbanresidents has been greatly improved. For one hand, the consumption structure has alsobeen optimized and upgrades. For another hand, there are also some problems in theconsumption structure of Jiangxi Province. Therefore, how to expand the urbanresidents’ consumption, and optimize the consumption structure, play the role of urbanresidents’ consumption in the economic growth is of great practical significance.In the view of economic history, this paper processes an empirical study ofstatistical data for the consumption of urban residents in Jiangxi Province in1978-2011. Based on Engel coefficient analysis results, the consumption condition of urbanresidents in1978-2011can be divided into two phases: the phase of the basic food andthe phase of clothing consumption structure from1978to1998and consumptionstructure to achieve a well-off in1999-2011. Combined with econometric methods,adopting extended linear expenditure system model to make Engel coefficientanalysis, time series analysis, cross-sectional data analysis and elastic analysis so thatexplore the change characteristics and laws of Jiangxi urban residents’ consumptionstructure. From the analysis we can discover: the consumption level of urban residentsin Jiangxi Province has been greatly improved, the consumption structure has alsobeen optimized and upgrades which from subsistence to a well-off type and then toprosperous living standard. However, compared to the consumption level of urbanresidents in other provinces, the income of residents in Jiangxi Province is still in lowlevel, the gap between rich and poor is huge; the total consumer demand is not enough,consumer demand grows slowly; the Engel coefficient is still on the high side. According to these problems, I put forward countermeasures for promotingrationalization of urban residents’ consumption structure in Jiangxi province. On theone hand, it provides a theoretical basis and policy recommendations to optimize theconsumption structure aiming to promote market development in Jiangxi province andeven the central region; while on the other hand, it aims to promote the economicgrowth so that narrow the gap with other regions, and achieve balance and sustainabledevelopment of regional economy.

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CLC: > Economic > The world economic profiles,economic history,economic geography > China's economy > People's living conditions > People's consumption level,the structure
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