A research into the impact of public expenditure structure on residents' consumption in China
- 经济学院－会议论文 
In recent years, Households Consumption as a part of GDP has decreased sharply. The economic growth relies mainly on export and large amount of investment, which is obviously unsustainable. To maintain rapid economic growth, how to stimulate residents' consumption is the key problem. The role of consumption in economic growth is becoming weaker day by day, while public expenditure is increasing year by year. What is the relationship between public expenditure and residents' consumption? Can government promote consumption by adjusting public expenditure structure? This paper is focused on the effect of public expenditure structure on household consumption. Based on a random-effect model, we use the panel data of 31 provincial regions from 1994 to 2011 to do the analysis. We found that most of local public expenditure types have crowding-in effect on household consumption except capital construction expenditure and administrative management expenditure. ? 2014 WIT Press.