Study On The Influence Of Fiscal Expenditure For Supporting Agriculture To The Rural Residents’ Consumption

China is a large agricultural country,2/3 of the population in the rural areas, the central and local governments have put forward clearly that expanding the consumption demand of rural residents is a pressing and significant strategic task that is related to expanding domestic demand and the whole national economy.The proportion of rural population in Ningxia Hui Autonomous Region is large, this article selected the topic of the researching about fiscal expenditure for supporting agriculture and rural residents’ consumption related issues of the Ningxia Hui Autonomous Region, aim at finding out the relationship between them, and seek to the fiscal policy which promote the rural residents’ consumption and better to serve the sustainable, rapid and healthy development of economic society in Ningxia Hui Autonomous Region. Based on the complementary effect and the substitution effect, using statistical data, this paper described the present situation of the Ningxia Hui Autonomous Region, on the basis of theoretical analysis and description of present situation, this paper selected time series data from 1978 to 2012 of Ningxia Hui Autonomous Region, used the way of stationary test, co-integration test, Granger causality test, VAR model and impulse-response analysis to do quantitative analysis about two aspects:total amount and structure.The results showed that looked at the total amount, fiscal expenditure for supporting agriculture of Ningxia Hui Autonomous Region is provided with the complementary effect, especially the consumption of food and cloth; looked at the structure of it, support rural production expenses and expenses forestry, water conservancy and meteorological departments and three charges of agricultural science and technology is provided with the complementary effect, but the effect was not apparent. Agricultural infrastructure spending is provided with the complementary effect and the effect was apparent. Impact of rural relief funds for rural residents’ consumption in the short term performance of the complementary effect. Then will combine with the study of the above, the paper will make policy proposal to solve the related problem.