A Study On The Influence Of Financial And Social Security Expenditure On Residents’ Consumption In Shandong Province

Since China’s reform and opening up in 1978,after more than 30 years of rapid development,China’s economy has made remarkable achievements,but also exposed the economic is weaknesses and consequences of over-dependence on export trade.On the one hand,after experiencing the Asian economic crisis in 1998,it was realized that the method of expanding domestic demand by increasing government expenditure was short-term and unsustainable.On the other hand,through the financial crisis in 2008,we realized more deeply that increasing the disposable income of residents,increasing residents’ expenditure,and making efforts to expand residents’ consumption to expand domestic demand,and reducing the dependence of our economy on investment and exports is a long-term and stable solution.In recent years,the "new normal" has become the staged characteristic of the economic development of our country.Among the rich contents of "the new normal",the realization of consumption demand is one of the core contents.Under the new normal state of the economy,we will focus on expanding residents’ consumption,and focusing on expanding consumer services,stimulating the upgrading of the consumption structure,truly playing the basic role and leading role of consumption in economic growth.Looking for the new growth points for China’s economy from promoting residents’ consumption in many ways.This paper takes the fiscal social security expenditure as the point of view,chooses Shandong Province as the research object,elaborates the related concepts,the theory foundation of financial social security affects the resident consumption.Then it analyzes the current situation of residents’ consumption and financial and social security expenditure in Shandong Province.By selecting the time series data of Shandong Province from 2007 to 2016,we study the effect of the expenditure of financial and social security on residents’consumption by unit root test,cointegration test and fixed effects analysis.It also analyzes the income of pension insurance fund and medical insurance fund,which is most closely related to residents and concerned by residents,and analyzes the impact of the two on household consumption.According to this empirical analysis,the financial and social security expenditure has a significant positive effect on residents’ consumption,and the pension insurance expenditure and medical insurance expenditure also show a significant positive effect.Based on the analysis of the current consumption situation of Shandong residents,the conclusion is drawn that the consumption of Shandong Province is insufficient,which inhibits the full use of consumption in economic development.On the basis of the analysis of the problems and causes of the expenditure of financial security in Shandong Province,the paper points out the problems in the level of expenditure and the structure of expenditure.From the financial funds,financial transfer payment system,financial social security expenditure management mechanism specific analysis of the reasons.In response to the analysis of the problems and causes of finance social security expenditure,we should expand and improve the scale of the financial social security expenditure,optimize the financial social security expenditure structure,and perfect the social security transfer expenditure system.Establish and improve the financial social security expenditure management mechanism and performance evaluation system,and put forward a number of aspects to improve Shandong Province’s fiscal and social security expenditure countermeasures to further promote the consumption of the province’s residents.The relevant conclusions of this paper have important theoretical and practical significance for optimizing the expenditure of financial and social security in Shandong Province and promoting the consumption of residents in Shandong Province.