Quantitative Study Of Beijing Urban Residents Consumption

Chinese national economy has sustained high growth and economic structure hasalready changed a lot. Current. Several factors, such as exports, consumption andinvestment has become the key to pull the national economy continues to grow. Thesethree are not the same. Impact of the2008financial crisis, let us recognize that growth inexports led to over-reliance on foreign markets will have a great economic uncertainty.Proven, domestic demand-driven growth model is to maintain healthy and stable economicgrowth in strategic ways. The deal with the relationship between investment andstimulating domestic consumption are two key factors is the key to the kind of economicgrowth pattern. Currently. Promote the fundamental driving force of economic growth isconsumption growth.Beijing as the China’s cultural and economic center, and its level of economicdevelopment at the forefront of China. Beijing residents have become China’s a specialconsumer groups, their consumption patterns in consumer behavior and consumptionstructure has many outstanding features: backward relative to the demonstration areas anddeveloped areas relative representation. Therefore, the consumption of urban residents inBeijing study of great practical significance for good and stable growth of China’seconomy.Firstly, we first analyze the macroeconomic data, the status of urban residents inBeijing and trend of consumption level and consumption structure will be described foranalysis. Then, based on the descriptive analysis, this paper will be the absolute incomehypothesis as the basic model, error correction model of urban residents in Beijing toexplore the relationship between income and consumption. In terms of the consumptionstructure analysis, we use cross-sectional data consumption of urban residents in Beijing toestablish extended linear expenditure model (ELES), followed by the study of panel data,the establishment of Pandel data model to study the time effect and the income effect onthe consumption structure affected.After this study, we found that Beijing as the Chinese model of urban development,urban residents have been ahead of many of the city’s residents out of poverty, through thewell-off stage, into the overall prosperity. However, the growth rate of per capitaconsumption expenditure and slower growth in spending per capita disposable income andconsumption directly in the expanding gap between the consumption structure of urbanresidents in Beijing are constantly upgraded to meet the people’s material consumption atthe same time, began to focus on the spirit levels of consumption. Consumption structuretends to be stable trend. Structural differences in consumption of different income levels ofdifferent residents is great, each with its own characteristics. And part of the low-incomehouseholds are still living in poverty, their basic consumer demand has not been fully met,resolve difficulties which some residents are government needs primary concern.