Research On Regional Difference Of China's Residents Service Consumption

The proportion of service consumption expenditure to the total consumption expenditure is increasing rapidly.So, promoting the rapid development of service consumption plays an important role in promoting expenditure of the consumption.Though the overall demand of service consumption increases yearly,a very unbalanced development among each regions.The difference of residents service consumption among three regions are much greater than that of the region,but there are differences in varying degrees on the internal of the region.So the article chooses residents service consumption as research subjects and tries to explore the characteristics and the cause of regional differences of residents service consumption.The research has an important role in expanding demand of service consumption and facilitating China's rapid economic growth.This paper chooses service consumption demand of China's urban and rural residents as research subjects and analyses development situation and characteristics of China's residents by statistical analysis.Then as a guide of regional differences,the paper discussed many influencial demand factors of China's residents service consumption by qualitative methods.Utilizing factor analysis establishes the mathematical model in order to identify the key factor of the impact of consumer demand as prices and income etc.We use survey data of China's 29 urban and rural residents household from 1995 to 2005 to establish Panel Data Model. Analysis of factors such as income, prices and pre-consumer affect demand degree of service consumption. The paper points out the fact that income is a major factor leading to three regional difference of urban residents service consumption, prices have some impact on consumption of eastern and central urban residents except western, pre-consumer do not significantly affect consumption of eastern and central urban residents except western.Prices factors have little impact on consumer demand of all rural residents. Income and spending habits have some impact on rural service consumption, but caused no regional difference, while other individual factors cause the internal region difference of western. We should take measures suitable to local conditions to expand resident demand of service consumption.