The Impact On Urban Residents Consumption Of Social Old-age Insurance

For a long time, the consumption level of China’sresidents has always been comparatively low. The distribution to economic growth from consumption is apparently lower than the international level. And this phenomenon not only results in unreasonable economic structure in our country, but also threatens the long-term stability and sustainable development of our economy. In the searching of a long-acting mechanism that expands consumer demands, social endowment insurance, an equilibrium of life circle and benefit level, will affect customer’s consumption and savings decisions. Meanwhile, study social endowment insurance’s influencing direction towards resident consumption in our country has more crucial practical significance for our country’s social endowment insurance system, which has a short history of modern social endowment insurance system and is in continuous reform optimization.Scholars at home and abroad, have never conformed unified cognition about the research of the relationship between social endowment insurance and resident consumption, no matter in theoretical exploration or in empirical analysis. This essay, under the framework of Feldstein’s expanding life circle theory, will employ the method combining theoretical analysis and empirical research, and use2001year to2011year’s provincial panel data and CHARLS(China Health and Retirement Longitu dinal Study data to evaluate social security wealth. It will take the use of macro data and micro data to joint study endowment insurance’s influences on resident consumption, namely the auxo-action of social endowment insurance towards urban dwellers consumption and the auxo-action of social endowment insurance towards residents’food expenditure.Under the difficulty of expanding domestic demand, establish and perfect a social old-age insurance system that fits into economic development level, and properly increase pension benefits that fits into people’s retirement can not only satisfy residents’pension demand but also stimulate resident consumption, expand domestic demand to boost the economy.