Can Social Security Boost Domestic Consumption in the People’s Republic of China?

Wang Dewen ()

Working Papers from eSocialSciences

Abstract: This paper reviews the development of the social security system and trends in the urban labor market in the People’s Republic of China (PRC). Despite its remarkable economic achievement, the PRC faces a difficult path before it can reform and improve its social security system and provide basic support for all of its people. The unemployment shock has caused rural and urban household income to decrease and has thus slowed down household consumption growth. The provision of broader social security would not only mitigate unemployment shocks in the short term, but it would also guarantee individuals and households more security for spending that could reduce the high savings rate and help achieve a balanced growth path in the long run. [ADBI WP 215].

Keywords: people; unemployment; households; income inequality; children; insurance; medial; injury; Housing Security; consumption; growth; rural; individuals; savings rate; spending; public transfers; income distribution; development; social security system; urban labour market; China; PRC; economic; reform (search for similar items in EconPapers)
Date: 2010-05
New Economics Papers: this item is included in nep-dev, nep-ias and nep-tra
Note: Institutional Papers
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://www.esocialsciences.org/Download/repecDownl ... &AId=2490&fref=repec

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ess:wpaper:id:2490

Access Statistics for this paper

More papers in Working Papers from eSocialSciences
Bibliographic data for series maintained by Padma Prakash ().