Research On The Impact Of Housing Wealth On The Heterogeneity Of Household Consumption

The 14 th Five-year Plan period is a critical period for promoting the great rejuvenation of the Chinese nation and realizing the two centenary goals.Therefore,it is particularly important to accelerate the development of the economy,expand domestic demand,promote consumption,and strengthen policy formulation.Consumption plays a vital role in promoting China’s economic development.With the rise of housing price,the housing wealth of Chinese residents has become an important part of the household wealth.Research on how the housing wealth affects the consumption of urban residents is of great practical significance to provide effective housing policy for the government and stimulate the consumption vitality of residents at the same time.In order to explore the impact of household housing value on household consumption,this thesis conducts an empirical study based on the OLS model based on the 2019 China Household Finance Survey(CHFS)data of Southwestern University of Finance and Economics.This thesis takes the household consumption expenditure as the explained variable and divides it into two categories: one is the consumption expenditure for survival and the other is the consumption expenditure for development and enjoyment.Data on household housing value are used as the core explanatory variable.Due to the unbalanced level of economic development in China,there are significant differences in the housing wealth,income level and consumption structure of residents.This thesis divides the households in 25 provinces(autonomous regions and municipalities directly under the Central Government)into eastern,central and western regions,and explores how the household housing wealth affects their consumption behavior.Finally,this thesis draws on relevant research and replaces the household housing value with the number of real estate to test the robustness of the above conclusions.The replacement of the number of properties has a significant positive impact on both household survival consumption and household development enjoyment consumption at the 1% level.The regression results show that the research conclusion is robust,and the household housing value has a significant impact on the household survival consumption and the household development enjoyment consumption.The basic conclusion of this thesis is that the value of household housing significantly affects the consumption of survival and development enjoyment of the household.In addition,for household subsistence consumption,housing assets are the key factor affecting household subsistence consumption in the western region,while the influence is slightly weaker in the central region and the weakest in the eastern region.In terms of household development and consumption,housing wealth plays a crucial role in promoting household development in the western region,while it is relatively weak in the eastern region and the most unfavorable in the central region.On this basis,this thesis puts forward some policy suggestions,such as re-examining the housing supply structure,accelerating the development of the credit and financial market related to real estate,and regulating housing in different ways.