Research Report On The Impact Of Household Financial Asset Allocation On Household Consumption In Guangzhou

China is currently at a critical juncture in its efforts to build a socialist modern country.To achieve modernization,economic development is particularly crucial.Given the background of unfavorable export conditions and low investment sentiment,stimulating consumption and realizing domestic economic circulation have become key factors driving economic growth.Research has shown that household financial asset allocation is closely related to household consumption.Overall,the structure of financial asset allocation among Chinese households is irrational,with low profitability and weak risk tolerance,all of which have made household consumption too single-minded and hindered high-quality economic development.Therefore,optimizing the structure of household financial asset allocation and increasing household financial asset returns can effectively improve household consumption structure,expand consumption scale,and help achieve the goal of expanding domestic demand and promoting domestic economic circulation.Against this backdrop,this thesis aims to investigate the correlation between household financial asset allocation and household consumption scale and structure.Based on a survey conducted in Guangzhou,this thesis reviews relevant literature,analyzes the current state of household financial asset consumption,identifies relevant indicators,designs a questionnaire,and creates the "Guangzhou Household Financial Survey Questionnaire" to obtain relevant microdata on household financial asset allocation and consumption in Guangzhou.Ultimately,650 questionnaires were distributed to residents in 12 districts of Guangzhou,with 650 collected and 610 valid responses obtained.Using primary data from the survey,this thesis first identifies four issues with household financial asset allocation in Guangzhou: first,low proportion of household financial assets;second,high proportion of risk-free financial assets with low returns;third,insufficient investment in insurance and over-reliance on cash and deposits for risk-free financial assets;fourth,limited investment diversification and inadequate financial literacy for risk assets.Secondly,this thesis conducts grey correlation analysis on the relationship between financial asset allocation and household consumption scale and structure,and employs Stata to construct a Tobit model for empirical analysis,the main findings of this study are as follows: First,household financial asset allocation has a significant positive impact on household consumption,as the higher the proportion of financial assets in total assets,the higher the household consumption.Second,household financial asset allocation has a significant impact on household consumption structure,as the proportion of household financial assets in total assets increases,the proportion of consumption for enjoyment increases significantly,while the proportions of survival-oriented and development-oriented consumption decrease significantly.Third,an increase in the proportion of risky financial assets held is conducive to improving the household consumption structure,manifested in that an increase in the proportion of risky financial assets to financial assets will promote the increase in the proportion of development oriented consumption and enjoyment oriented consumption,and inhibit the proportion of survival oriented consumption,while the impact of the proportion of risk-free financial assets is opposite.Finally,based on the above analysis results and the actual situation,this thesis proposes the following countermeasures and suggestions: firstly,the government should adhere to the principle of not speculation in housing and housing,while improving the construction of the credit system and promoting the optimization of consumption structure;Secondly,financial institutions should improve their level of financial services and increase the popularization of financial knowledge;Thirdly,individual residents should strengthen their learning of financial knowledge,optimize their household asset structure,and achieve reasonable and moderate consumption.