China’s Fiscal Social Security Expenditure Of Urban And Rural Residents’ Consumption Impact Study

Our country’s social security system is one of the important means to improve the quality of people’s living standards, the establishment of the social security system is to guarantee the basic life of the people, only under the life of residents have no trouble back at home, China’s urban and rural residents to dare to consumption and rational consumption. But the current our country urban and rural residents consumption under the background of the current era is very difficult to let a person feel optimistic.Nowadays our country urban and rural residents’ consumption level is low, even if the government has issued a series of help on expanding domestic demand, to promote the policy of our country’s urban and rural residents’ consumption, but in the process of policy implementation, we found that China’s urban and rural residents’ consumption level has not been significantly improve. Nowadays the global economy is facing a historic change, under the background of the international economy, our country cannot rely on the previous investment and import and export to sustain the economic development of our country, should take the initiative to change, to find new economic development model, break through the limitations of the traditional model, further out of a new road conforms to the development of our country. Therefore our country put forward to further expand domestic demand, increase the urban and rural residents’ consumption in our country, to keep the economy continues to grow, avoid under the background of the new normal times due to the adverse effects caused by the economic development.Under the background of the new normal, productivity development is the first motive force, the development of productive forces will drive the growth of domestic demand in our country, the growth of domestic demand and to promote the development of productivity, the development of productive forces will make the income of urban and rural residents increased across the country, and to improve the welfare of the social security, welfare overall ascension, and will make the income gap of urban and rural residents in our country and the total revenue increase will promote the growth of the whole society consumption, it can form in the virtuous cycle of coordinated urban and rural residents’ consumption and productivity growth. Has 13billion-plus population in our country, although the overall consumption is very big, but the per capita consumption is very few, especially rural residents per capita consumption is less. So we know if it is only dependent on the increase of China’s urban residents consumption level is not enough to pull the whole Chinese economy increase in domestic demand, consumption of rural residents in China has huge potential.Therefore, wants to stimulate urban and rural residents’ consumption growth in China,there are many problems to study, can make the potential consumer demand in urban and rural residents in fact into realistic consumption, thus improve the total domestic demand in China.Comprehensive the above content, establish fair and perfect social security system in China can give our country urban and rural residents basic life safeguard, prompted China’s urban and rural residents to spend, but now our country existing social security system of our country the protection function, strength, tendency of urban and rural residents is significantly different. In the face of China’s large population, how to truly achieve fairness and perfection of social security, in order to effectively improve the ability of China’s urban and rural residents consumption is need long-term attention and relevant government attaches great importance to the problem. It is necessary to deeply understand and, therefore, we have discussed our country social security expenditure source and the relationship between fiscal expenditure in China, and urban and rural residents’ consumption and the relationship between social security expenditure, finally to our country in expanding domestic demand, transformation of the mode of economic growth the feasibility and necessity of the policy to provide theoretical support.There are many factors affect the residents’ consumption idea, in many influence factors, the residents income expectations about the future will directly influence the residents’ consumption demand, and residents expect in the future is directly related to the goal of the residents for the future of life in China, therefore, as long as the perfect social security system in our country, urban and rural residents in China believe that the future life will be guaranteed, will increase the current our country urban and rural residents’ consumption. National economy one of the important means of macro-control is the fiscal expenditure of our country, the social security to a part of the important macroeconomic regulation and control need to consider, and included in the fiscal expenditure of our country social security expenditure, and this what we call fiscalspending on social security, so China’s social security is not just an economic problem,is also a political issue.Finally, this paper using the method of combining qualitative analysis with quantitative analysis, from 2004-2014, our country social security accounts for the proportion of China’s financial expenditure, then discusses our country fiscal social security expenditure and the relationship between the urban and rural residents’ consumption. And further analysis the weakness of the social security system in our country, and then puts forward the corresponding policy recommendations.