The Empirical Research On Rural Residents’ Consumption Structure Of China

Consumption is the most important and stable motive force to stimulate the economic growth of a country. But for a long time, China’s economic growth is mainly driven by investment, exports and the domestic demand is insufficient. Building long-term mechanism to expand domestic demand and enhancing the residents’ consumption ability play an important role in promoting China’s economic growth. The rural population accounts for 46.2% of the population in our country but the rural residents’ consumer spending accounts for only 22.2% of the residents’ consumer spending. The rural residents have great consumption potential. Based on descriptive statistical analysis, ELES and panel data model, the consumption structure of rural residents is researched. The main conclusions are as follows: Rural residents’ living standard has been greatly improved but has a large gap in income and consumer spending compared with the urban residents; Transportation,culture and entertainment, other goods or services and household equipment are expected to become the hot spot of rural residents’ consumption; The rural residents’ marginal propensity to consume is lower than that of the urban residents and a low marginal propensity to consume is not conducive to the development of the rural consumption market; Income is the main factor influencing the rural residents’ consumption structure and improve the income of rural residents can promote the consumption. In addition, according to the research results, this paper made recommendations in four areas about promoting the rural residents’ consumption and optimizing the consumption structure of rural residents.