The Empirical Research Of The Fiscal Expenditure Of Urban And Rural Residents’ Consumption Affect Of The Local Government Of Sichuan Province

As is known to all, there are three factors have being the most important part to pulling the economic development of our country, demand play a decisive role, but in the condition of insufficient domestic demand in our country at present, how to boost domestic demand becomes the multitudinous scholar research topic. Sichuan’s final consumption rate decreased from57.79%in2005to50.97%in2009, a decline in a row, the residents consumption rate is decreased from45.58%in2005to39.58%in2009, the whole province of Sichuan residents consumption rate in a downward trend, although the trend is in a state of ease, but also that of Sichuan residents demand’s ability to pull economic growth. In addition, in Sichuan province in2009, the agricultural population66983901people, accounting for74.55%of the population; Non-agricultural population of22862973people, accounting for25.45%of the total population. Sichuan province is a big agricultural province, and expand the consumption demand of urban and rural residents, especially rural residents is in Sichuan province to carry out the strategy of expanding domestic demand, promoting the economic long-term stable development important content, to protect and improve the livelihood of the people, improve people’s living standard has important practical significance, and increase government spending is widely considered the most actively expand domestic demand, the most direct, the most effective measures. Accordingly, based on the data, analysis of21regions of Sichuan province and the provincial government expenditure impact on urban and rural residents’consumption situation, find the influencing factors, the corresponding conclusion opinions, a certain sense, provide reference for policy making.This paper main structure is divided into seven chapters, and this article adopts the empirical method of Panel Data (fixed effect variable coefficient model in Panel Data). In general according to the regression results intuitive that fiscal expenditure on the whole town residents’ consumption of21position as into effect, for rural residents to crowding out. Therefore, to accelerate the regional urbanization is also the important aspect of raising the overall level of residents’ consumption. And each region have shown special reaction, through the regression results of this paper can see its existence question, but the cause and the solution by further research.