The Systematic Framework and Policy Suggestions for Expanding Domestic Demand in Reform—Based on the Perspective of Three Variables:Income Level,Expenditure Cost and Supply Quality
Stimulating consumption is regarded as the main idea of expanding domestic demand.However,the two major premises of this proposition,namely,the high savings rate and low consumption rate of residents,and the consumption behavior as a unilateral behavior that residents are willing to pay for,cannot be tenable.In order to accurately find the direction of expanding domestic demand,starting from the traditional definition of domestic demand,it is believed that the real meaning and decisive factors of domestic demand are ignored from the static cross-sectional research perspective.On this basis,it is clearly pointed out that consumption is a function of three variables:income level,expenditure cost and supply quality.The decline in income growth has led to residents'reluctance to consume,the pressure of large-scale long-term consumption has led to residents'fear of consumption,and the low quality of supply has led to residents'inability to consume,which together constitute the systematic causes of insufficient domestic demand in China.Therefore,to successfully expand domestic demand,it is necessary to achieve the fundamental goal of increasing residents'income,and take reform measures from four aspects:wage income,property income,operating income and transfer income,so that residents are willing to consume;focus on housing,medical care,and compulsory education,reduce costs as the main starting point,so that residents dare to consume;take attracting expenditure as the development orientation,and focus on legal protection,brand cultivation,research and development support,policy support,and other aspects,so that residents can consume.
Insufficient Domestic DemandPopulation IncomeLiving CostConsumer SpendingMarginal Propensity to Consume
NETL
NSTL
万方数据
