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Regardless to the entire country or the area, expense which draws“Troika”of economic development is playing the great importance role, especially in our country, economic excessively depend on export and this is not the healthy economic development pattern. Sustainable development should depend on drawing domestic demand and stimulating resident’s expense desire.This article researches the expense of Shanxi resident to take the object of study, the primary cause is that Shanxi Province economic development pattern is sole, the resources industrial structure characteristic is obvious, the heavy structural feature is prominent, the tertiary industry is backward. Affected by global economic crisis, Shanxi Province economic growth receives the serious hindrance, the export drops largely. Affected by global economical crisis, Shanxi Province economic growth receives the serious block, the export drops largely, although adopting the positive investment strategy, the economic development structure can’t be improved, therefore, how to draw the question which the domestic demand becomes urgently awaits to be solved.Recent years, the research related our country residents’expense only increased in academic circle, direction and method of research improved much comparing to former research, using quantity analysis method with more advanced nature. Primary intention of this article is to discuss how to expand expense of city and countryside resident in Shanxi Province, because the factors affecting expense is numerous, and important degree varies, this article takes the prominent factor as the analysis object, Unifies the economic theory and the gauging device, connecting economic theory and Econometrics, using statistical description, state space, error correction model and ELES model.It can draw the conclusion through research, Shanxi Province resident’s consumption level is backward, the consumption pattern needs to improve, the margin of city resident consumption tendency is dropping, the consumption pattern presents bad tendency. This is mainly because the resident income level is not high, city and countryside income disparity is expanding, local income and the expense disparity question is serious, social security system is imperfect, industrial development is unbalanced and so on.. These factors cause the Shanxi Province city and countryside resident’s expense foundation not to be sturdy,consumption confidence is insufficiency, expense desire is not strong, and this phenomenon will exists continually in a short time.
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