Study On The Establishment Of The Consumption Credit's System In China

Great success in the economic reformation of china has been achieved during the past twenty years. This basically changes the balance situation between supply and demand. The supply of products now has surpassed the demand. And the buyer market has occupied a leading position. The mode of economic development has been changed into consumption type instead of production type. However, the shortage of demand has become a limiting factor to the economic development. The consumption philosophy of people was also changed a lot, and therefore the consumption credit has been received more and more attention. In order to strengthen the economic development reasonably, reinforcing consummating credit and regulating consumption mode will be an important strategy for macroeconomic policy in china. Therefore the problem of consumption credit is badly needed to be deeply studied for the future economic development.In this thesis, the following topics on consumption credit are presented and discussed: emergence and development, objectives and function, current situation and limiting factors, effects on macro-economic development. Based on the results, the author put forward some new idea such as the consumption credit can offer a new approach how to help poor people to get rich and the government support will be the initial power to the development of consumption credit. Some suggestions have been proposed for the establishment of suitable consumption credit in china. The author also emphasizes that the consumption credit system is a social system problem. Effects and supports from government, enterprise, bank, and citizen are needed.The thesis includes the following six parts.The first part is introductory, mainly presenting the topics of selection and its objectives and also providing the philosophy how to write this thesis.Part two: Introducing the concept, the development history and the function of the credit.It is pointed out clearly when we construct the socialism market economy today, the developed and perfect credit plays an important role in the market economy's operation. The credit is the foundation and frame of the normal operation of the market economy and is the strategy resources that support the market economy healthy development.The mature market economy is always to pursue the efficiency under certain market order. The credit order plays the most important role in the whole social resources to be utilized, So that the commercial products can reach it maximum value. The damaged credit can disturb the economy order and affect the healthy development of the market economy. The market economy's development makes the credit become a kind of social resources ,which is pursued by most of the citizens.This kind of pursue makes each jointer of market economy can get more market trade opportunity and obtain more benefits only if he takes care his own economic behavior and credit status and then increasing his own credit position.Part three: the concept, emergence, development and forms of consumption credit. Consumption credit means that credit in currency funds and commercial products provided by enterprise, bank, and other financial agency for daily life consumption. It also means a kind of credit behavior offered by financial agency to the consumer.Consumption credit experiences a process from direct deal between seller and buyer to in direct action mediated by bank.The consumption credit forms includes: commercial in product, consumption loan, credit card and lease.Part four: the importance and function of consumption demand and consumption credit in economy development.Consumption demand is the original motive power in the social economy. And enlarging consumption demand is the urgent task by now. Developing consumption credit can flourish consumption market and perfect the socialism market system. It can also alleviate the contradiction between the limited purchasing power of the consumer and the continuously increasing life demand on a certain degree. Since it can improve people's life better and promote the development of the merchandise production, consumption credit from now will play an important role in continuous healthy economy development in our country.Part five: the present development situation and the major limiting factors of the consumption credit in our country.The present situation of consumption credit in our country: consumption credit is still in the beginning stage even though it expanded quite quickly in the past. The market of consumption credit is large; the consumption credit medium service organization begins to establish but still need to improve. Theinformation of consumption credit is not satisfactory. These problems make the crisis of consumption credit appears in the operation process and adversely affect Chinese financial system.The main limiting factors include:consumption credit develops slowly and can't meet the people's consumption demand; the related laws are not sound; the consumers' perception degree of consumption credit is not high; lack to maintain consumption credit; the risk of breaking contract behavior; the individual consumption system needs more perfect; the resident's consumption expectation is decreased and saving expectation is increased; consumption credit's expansion puts a new challenge to the bank's risk management; and sport from local government was not enough.Part six: the approach and strategy for the establishment of the consumption credit system. This thesis proposed the following new theoretic ideas: new idea creation, to encourage the culture of consumption credit in order to maintain healthy economy development ;new system creation, to perfect the operation system of consumption credit ;new environment creation ,to construct the legal system environment of the consumption credit ;new management creation ,to offer supporting system for the establishment of consumption system. From the policy management, the lawmaking guarantee, the construction of the consumption credit system, the business enterprise construction, social ideas and public opinion and ect, it is all needed to further develop consumption credit system.The establishment and improvement of consumption credit system are social system engineering. It needs that citizens should have right moral character and right concept of consumption credit. It also needs to set up perfect legal management system and punish standards. This can be done only if all aspects including government, bank, enterprise and citizen make effort and provide supports to this job.The last part: Make a simple summary of this article and present an outlook for the study.