Study On The Effects Of The Migration Of The Rural Labor Forces On The Consumption Of Urban And Rural Residents

Since the reform and opening up,Chinese national economy has been developing rapidly, the social and economic situation has changed, and the rural labor force has been flowing into the cities and towns that is relatively well developed. This free flow is the result of market mechanism regulating labor resources allocation,which not only plays an important role in the development of China’s urbanization, but also has a significant impact on the living standards of Chinese urban and rural residents, especially on the consumption level. Combing the existing literature,we can find that there is a large number of studies on the Influence factors of the residents’ consumption level,but there is a lack of systematic research on the relationship between the residents’ consumption level and the rural labor mobility.Therefore, these problems need to be further studied and discussed.This paper is gradually expanded according to the "related research summary- mechanism analysis- Empirical Test- policy recommendations" research ideas. First of all,the paper summarizes the related research on rural labor flow in our and foreign countries. Secondly,the two mechanisms of the impact of the rural labor flow on urban and rural residents’ consumption level are described in detail. Then,based on China’s Provincial Panel samples which divided into East,middle and west regions,this paper takes the consumption level of urban and rural residents as the study variables,and empirically tests the influence of the rural labor flow on the consumption level of urban and rural residents.Finally, according to theoretical and empirical results,this paper puts forward some suggestions on how to promote the free flow of rural labor and improve the consumption level of urban and rural residents.This paper uses the statistical data of 30 provinces and cities(except Tibet) to carry out empirical analysis. The study finds that the rural labor force flow in the East and the middle part of China promotes the consumption level of rural residents, but it has a restraining effect on the West.In the East, middle and west regions of China,the rural labor force has spillover effects on urban residents,and promote the growth of urban residents’ consumption level.