The Empirical Analysis Of The Chinese Saving Behavior With Buffer-Stock Model

Savings deposits of residents is an important component of social saving, and is also an important resource for economic growth. Savings deposits of residents in economic development plays an extremely important role. The rapid growth of the household savings, China’s economic development is the main source of funds, is the important guarantee for the smooth reform and opening up. Excessive saving form economy to a potential threat, the purpose of this paper is to study China’s urban and rural residents savings characteristics, so as to find out the influence of our country urban and rural dweller high savings rates, lower savings to expand domestic demand. In this article from buffer-stock saving model on the basis of the model, is improved properly-joined the residents holding a wealth of uncertainty, make it more in line with China’s urban and rural residents savings behavior. Because Beffer Stock model does not exist to determine the analytic solution, so the model is empirically brought quite great difficulty, this paper adopts Carroll and Samwick (1997,1998) in both the liquidity constraints and endogenous liquidity constraints, using the inverted push to get the simulation results of the model, and then use our country29provinces, autonomous regions of the data, panel data model, through overall and regional model estimates found:1.Buffer-stock saving model can well explain the Chinese residents’ saving behavior.2. Our country dweller target fortune value in addition to the influence of income, but also by the income uncertainty, wealth effects of uncertainty.3. Urban and rural residents wealth effect target value factors between different areas, East and north-east regions affected by income uncertainty factor influence, and the western and central regions by wealth uncertainty influence.