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The Study On The Impact Of Government Consumption To Economic Growth

Posted on:2013-10-01Degree:MasterType:Thesis
Country:ChinaCandidate:W H JiangFull Text:PDF
GTID:2249330362465148Subject:Political economy
Abstract/Summary:
In the macro-economy, the consumption is one of the three engines of theeconomic growth, and plays an important role in the economic growth. Governmentconsumption is an important part of consumer demand. What kind of impact it has inthe economic growth, how is the mechanism for the role of economic growth, for theresearch in this area, there is no definite conclusions. Therefore, studying the impactof the government consumption to the economic growth has important practicalsignificance in the post-financial crisis period.In this article, taking Xinjiang as example, we study the impact of the governmentconsumption to the economic growth from the theoretical and empirical study, and tryto analyze government consumption’s role to promote economic growth in the currenteconomic growth mode transformation process. Then I propose realistic, actionablestrategies and recommendations. In the study way, the article seeks to combine theoryand practice. At the first, it illustrates the impact and the mechanism of governmentconsumption to the economic growth from the theory. In the second, it analyzes thestatus the economic growth and government consumption about Xinjiang and theeconomic effects of government consumption. At last, using the statistical data of1990~2010years of the Xinjiang, studies the impact about total governmentconsumption and science and education expenses and administrative costs to theeconomic growth using empirical analysis way, and come to conclusion Xinjiangtotal government consumption and breakdown of Education, Science culture, healthand administrative expenses on economic growth has a positive role. On this basis,put forward policy proposals: a reasonable increase in total government consumption;play the guiding role of the government consumption; increase in governmentprocurement-oriented; moderate increase in science, education spending; strongdevelop culture and sports; improve the basic health system; a small increase in theexpenses of administration; to establish an effective government performanceevaluation system.
Keywords/Search Tags:Government Consumption, Economic Growth, Cointegration Test, the VARModel, Xin Jiang
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