The Empirical Analysis Of The Impact Of Social Security Spending And Urban-rural Income Gap On Xinjiang’s Economic Growth

In recent years, with the rapid development of Xinjiang’s economy, the level ofsocial security, income and life quality of residents in Xinjiang has significantlyimproved, especially in the implementation of the Xinjiang leapfrog developmentstrategy, the overall economic situation in Xinjiang has stepped into a speed mode.While development will also brings changes,the continued development of economyhas devoted tremendous impact for the social-economic relationships in Xinjiang,especially the relationship among expenditure of Social Security in Xinjiang,gap ofurban-rural income and economic growth becomes more and more closely. Therefore,the study for this relationship has became a hotpot in the field of economics.This article statistics related index about the growth of economy from1995to2012in Xinjiang, including GDP, Consumption, investment and the import and export etc.,carrying out a detailed analysis on the economic development of Xinjiang. Whilecompare the average level of Xinjiang with national indicators by comparativeanalysis method. By comparison, we found that since1995to2012, the level ofoverall economic development of Xinjiang is in a sustained and stable growth stage.Which, from the rate of economic growth, and consumption,we found that the data inXinjiang are basically flat with the national average, moreover,the rate of investmentin Xinjiang is much higher than the national average. It can be seen at this stage ofeconomic development,the economic development in Xinjiang is provided withsustained and stable growth conditions.Based on the understanding of economic development in Xinjiang, this paperanalyse the basic situation of social security spending and the gap between urban andrural income distribution in Xinjiang. Mainly on the total social security spending,the development factor of social security expenditure and the gap of urban-ruralincome situation,etc. Also,comparing related data in Xinjiang with the nationalaverage, by comparison we found the gap between Xinjiang and that of national average, and analyze its causes.On the basis of fully understand the current economic development situation,social security spending,and the gap between urban and rural income distribution inXinjiang. By the taking steps of establish VAR model, by stationary test, lag choice,Johansen cointegration test, Granger causality test,impulse response function multiplesteps and variance decomposition,the author analyses the relationship between thethree factors mentioned before,and draws the conclusions. Then put forward somereasonable advises as to promote coordinated development between those threefactors.