A Study On The Mechanism And Countermeasure Of Residents' Income Influencing Consumption Demand In China

In economic theory, income is the important variables that affect consumption,income growth will stimulate consumer demand. Affected by the global economic recession, exports and investment have been two of the biggest sources of economic growth, and the outlook for both is poor, the government and scholars have turned to domestic consumption. In recent years, residents’ income grows strongly in our country, but consumption rate has declined year by year, and the level of consumption is low. In this paper, by a large number of data, it analyzes various factors to affect the degree of consumer demand, using the panel data model of research methods primarily.On this basis, the paper proposes strategies to expand our consumer demand, in order to further improve the current situation of consumer demand.