Group Differences Of Computer Consuming Dynamic Characteristics Between Urban And Rural Residents Based On The CHNS Household

Consumption, exports and investment is considered to be the three major driving force ofeconomic growth; investment and export are the main power of economic growth ways in China.With the US sub-prime mortgage crisis sweeping the globe in2007, then the outbreak of the Asianeconomic crisis and the European sovereign debt crisis, the economic situation in the world isseriously threatened. Due to the impact of the international situation, the pulling power of theimports and exports for economic development in China are reduced. The investment-basedeconomic growth way gradually reveals the problems of production overcapacity, investmentoverheating and inflation. Therefore, how to improve the domestic consumer demand has becomethe main point of economic development.At present, the income level of residents and the consumption levels are increasing, but therate of consumer is declining. Previous studies showed that the income gap is the main factorleading to the low consumption rate of residents. Meanwhile, under the conditions of dualeconomic structure, urban-rural gap is the main component of the income gap. Therefore, thestudy of the dynamic characteristics of the consumption between urban and rural residents playsan important role to improve the consumption rate. In this paper, we use the data from CHNSincludes2004,2006,2009and2011household survey data. First, we use the non-parametrickernel density estimation method to depicts the income of China’s development and changes, andfound that there are variations on the level and distribution of income in China. Second, we usequantile regression method to regress the computer consumption between urban and ruralresidents, on different quantiles analyzes the marginal effect on consumption of income, educationlevel and family size. The empirical results show that the computer consumption of urban andrural residents appears the level and structural differences. The level of education affect oncomputer consumption of rural residents is far greater than urban residents and improve ruralresidents’ level of education has a promoting role on consumer market. Therefore, our governmentshould increase investment in rural education, especially higher education expenses. Impact of family size on the computer consumption in rural and urban from negative to positive, but with theimpact of China’s family planning policy, its impact strength will gradually diminish andultimately useless. With the improvement of the urban and rural income levels, the computerconsumption elasticity in China is declining, and elasticity of rural residents’ consumption is muchhigher than urban residents, indicating that China’s rural computer consumer market has a hugepotential. Meanwhile, from the consumption elasticity dynamic characteristics can be seen that therural residents’ computer consumption dynamic characteristic has cyclical characteristics. At thesame time, urban residents computer consumption do not exist cyclical characteristics, and therural residents computer consumption behind urban residents around6years.Under the background of urban and rural dual economy, China’s urban and rural residents’income gap is more and more big. Then, what change trend of urban and rural residents’consumption differences exist in our country? Based on the macro data, our country townresidents’ consumption growth rate is higher than that of rural residents. However, from the CHNShousehold survey data, we can find that computer consumption gap between urban and ruralresidents in China are narrowing tendency year by year. Computer consumption gap betweenurban and rural areas in China, this problem, this paper build rural residents counter-factualcomputer consumption forecast and decomposition the difference between urban and ruralresidents consumption found that: on the one hand, China’s rural residents against the fact thatcomputer not only higher than rural residents consumption, even higher than that of urbanresidents consumption computer, show that increasing the income of rural residents in China couldpromote the development of the rural residents largely in China computer products consumermarket, and it could stimulating rural consumption market potential further; on the other hand, thetrend of computer consumption gap between urban and rural areas in our country reduced year byyear, the turning point appears around2005, and computer consumption gap between urban andrural reduced in China since2006. At the same time, the main factors that influence the computerconsumption difference between urban and rural residents from coefficients effect into returnseffect, which will be affected by variables show that China’s urban and rural residentsconsumption pattern change on the influence of the computer consumption difference betweenurban and rural areas in China is more and more big, the variables influence to our country urban and rural computer consumption difference contribution reduced year by year, namely, with theimprovement of income level, its impact on computer consumption difference between urban andrural areas in China. On account of consumer demand in China, the Chinese government canselectively develop policies to subsidize different consumer class rural residents. In addition, ourcountry should improve China rural residents consumption pattern further on the basis ofpromoting the rural residents income, promote the growth of the rural residents consumptiondemand in China.