A Study On The Savings Of Urban Residents In Jiangsu Province

Quickly increasing savings imposes two kinds of self-contradictory functions on our economy: It can provide a huge sum of funds to economic development, and also can repress the resident's consumption demand so as to bar economy development by reducing total effective demand. Now, the lack of domestic demand has become the biggest problem of our economy. Under this realistic circumstance, it is an important problem which is needed to solve in the near future to handle this self-contradict perfectly and put the savings into reasonable uses so as to extend our domestic demand and develop our economy.This study is a study on the savings of urban residents in Jiangsu province. It analyzes the characteristics of urban residents' savings in Jiangsu province by describing its actuality and structure. Then, it finds the factors which affect the residents' savings behavior and study the importance of each factor by employing the econometrics models. With the surveys on the urban residents' consume willing and invest willing, this study predicts a trend of the urban residents' savings in the following several years. With correcting classic model, it also studies the relationship between residents' savings and economic growth in Jiangsu province. Finally, it gives some policy suggestions to put the savings into reasonable uses so as to promote the growth of our economy.This study' main body is divided into six chapters:Chapter 1: An overview on western savings theories. It introduces three main theories of western economics in detail. They are over-savings theories, individual savings behavior theories, together with savings and economic growth theories.Chapter 2: It is a description and analysis on gross urban household savings and its structure in Jiangsu province by using research data. Then, it point out the existing problem by analyzing the residents' willing of consume and invest.Chapter 3: With the use of over-savings theories, the residents' high savings rate and the savings' high increase rate in Jiangsu province is studied. At the end of this chapter, all possible positive and negative effects brought by "double high" are introduced.Chapter 4: A study on the savings behavior of urban residents in Jiangsu province. It starts with seeking variables. By employing the econometrics methods, a regression model is constituted and some analysis on the result of the model is presented. At the end of this chapter, it appears a prediction on the trend of the urban residents' savings in the following several years.Chapter 5: A study on the relationship between savings and economic growth. It corrects the classical models and shows a possible way by with the economy makes advantage of savings.Chapter 6: Conclusion. Summarize all the above studies and propose some policy suggestions.