The Effects Of Urbanization On Consumption Expenditure Of Rural Residents

Caused by the development of society, urbanization is a process of changing in the pattern of producing, lifestyles and living. It is a development process in the mode of political, economic, historical cultural and geographical. According to the experience of developed countries in the process of urbanization, the urbanization has a positive social and economic function for the development of a country or region. Promoting the realization of the process of urbanization is not only to change the dual economy structure, resolve the lack of effective demand but also to promote sustained economic. Since located in the western inland, in the very long period of time the urbanization process of Chengdu was lagging behind the coastal cities and emerging commercial and industrial city. Experienced three stages, which is, rapid increase, continued to decline, steadily development, the city of Chengdu made a breakthrough. In recent years, the urbanization process of the western city increases with more than one percent average annual rate, urbanization process becoming an important driving force for the region economic development. However, with the development of urbanization, issues such as widening income gap between urban and rural areas, weak domestic demand etc, is becoming the current major bottleneck for the Chengdu economic development. Therefore, to explore the relevance of between Chengdu urbanization process and consumer spending of peasantry, to explore the change of urban-rural dual structure, expanding consumer demand and promoting the economic development are the purposes of this paper.Based on the existing results, this study attempts to select the rural residents in Chengdu as the study object. This paper divided into four main parts:the first part is the process of urbanization in Chengdu, the second part is the analysis of consumption expenditure of rural residents in Chengdu, the third part is the focus of this article, mainly about the effects of Chengdu Urbanization on consumption expenditure of rural residents, this part including the theoretical analysis and Empirical Analysis.The main innovation is:1.The Urbanization development is linked to consumer spending of rural residents,and also discussing the former’s effect on the latter’s in long-term and short-term;2. Using the impact of urban development on rural residents consumption expenditure to re-evaluate the level of urbanization in Chengdu;3. By contrast the research on Eastern and Western representative city, to re-examine impact of the Urbanization development of the western and the eastern city on their own rural residents’consumption expenditure. It should be noted that this study shows that there existing a long stable relationship between urbanization and the growth of rural residents’consumer spending. In the long term, the higher the level of urbanization is, the greater the promoting for rural residents consumer spending is.Due to the limited data, the conclusion of this study have a lot of inevitable problems to discuss, but I hope that this research can still play some reference for understanding the relationship between the urbanization development of Chengdu and the consumption expenditure of rural residents.