Title: Effect of China's Urban-Rural Income Gap on Consumption
Abstract: This paper investigates the effect of income gap on consumption from theoretical and empirical aspects.In theoretical aspect,the effect of income gap on consumption was analysed by consumption theory of western economics,including the theory of absolute income,life-cycle theory of consumption and permanent income theory of consumption.In empirical aspect,using econometric methods to construct the regression model,taking income gap as explanatory variables,taking consumer demand asexplained variable,the relationship between both was analyzed with the use of OLS method.Finally,relevant recommendations were proposed by raising the income level of the residents,narrowing the income gap and improving the social security system to improve the consumer demand.
Publication Year: 2013
Publication Date: 2013-01-01
Language: en
Type: article
Access and Citation
AI Researcher Chatbot
Get quick answers to your questions about the article from our AI researcher chatbot