FOUR DECADES OF POVERTY AND CONSUMPTION IN CHINA

Jinxian Wang, Chen Wang and Yan Zhang
Additional contact information
Jinxian Wang: Business School, Central South University, Changsha, P. R. China‡Department of Economics, Leiden University, Leiden, The Netherlands
Chen Wang: #x2020;School of Urban and Regional Science, Shanghai University of Finance and Economics, Shanghai, P. R. China‡Department of Economics, Leiden University, Leiden, The Netherlands
Yan Zhang: #xA7;School of Economics, Chongqing Technology and Business University, P. R. China

The Singapore Economic Review (SER), 2020, vol. 65, issue supp01, 117-138

Abstract: Since 2010, China’s miraculous growth has come to a halt and has shown steady deceleration. To re-accelerate economic growth, stimulating domestic consumption is a crucial way with fighting poverty as the key step. This paper attempts to explore the impact of poverty on resident consumption in China over the last four decades. Based on provincial data, we first simulate income distribution at the individual level and provide moderate poverty profiles at the provincial level. The empirical analyses are then conducted to gauge the poverty impacts using the estimated poverty index. Results show that (1) moderate poverty has decreased sharply in China, with the best achievement in Beijing, Shanghai and Guangdong; (2) moderate poverty exerts a significantly negative impact on resident consumption; and (3) when poverty increases, resident consumption on household equipment decreases the most, while resident consumption on food, transportation, and telecommunication decreases the least.

Keywords: Poverty; consumption; China (search for similar items in EconPapers)
Date: 2020
References: Add references at CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
http://www.worldscientific.com/doi/abs/10.1142/S0217590819440053
Access to full text is restricted to subscribers

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:wsi:serxxx:v:65:y:2020:i:supp01:n:s0217590819440053

Ordering information: This journal article can be ordered from

DOI: 10.1142/S0217590819440053

Access Statistics for this article

The Singapore Economic Review (SER) is currently edited by Euston Quah

More articles in The Singapore Economic Review (SER) from World Scientific Publishing Co. Pte. Ltd.
Bibliographic data for series maintained by Tai Tone Lim ().