Analysis On The Impact Of China's Urban Households' Income Gaps On Consumption Demand

Since reform and opening,30% of the total population to 40% of urban households increased income and material conditions of increasingly diversified sources of support; its purchasing power has been China's rapid economic expansion of the main drivers of growth. Development experience from abroad, the per capita GDP than 1000 U.S. dollars, the economy will enter a new stage of development; social consumption structure will be development and enjoyment-type upgrades. GDP per capita of urban residents in China has long exceeded 1,000 U.S. dollars. Upgrade of consumption structure, will drive the investment structure and industrial structure change, a sustained and rapid economic growth in the most reliable support. In addition, the service sector will usher in a turning point to accelerate the development of China's economy will therefore move to a higher form. In this case, consumption and income of urban residents is of great significance to do.Households and individuals as a basic form of organization of social and economic units, is the starting point and destination of macroeconomic performance. Behavior of consumption by households, consumption decisions, and consumption tend to determine the market's well-being; the income level of households and the demand structure of the industrial structure and the impact of the final product composition, although from a static and short term, industry structure determines the consumption structure; but dynamic and long-term perspective, consumption structure determines industrial structure. Therefore, the consumption behavior of households and their consumption structure determines the investment in the macroeconomic structure, industrial structure, product structure. Present in the whole urban family life into the rich from the well-off type of social environment, the economy's economic aggregate household size has become the government, and companies can not be ignored compared to the national economy, the important part, especially in households Consumer demand as the major social components of aggregate demand, decided to look at the total supply and total demand gap change is the impact on economic growth and economic fluctuations, one of the main variables. Based on this background, this paper focuses in-depth study of urban income gap between home and the impact on consumption that the income gap is an important theoretical and practical significance of the issue.