Marx’s Consumption Theory And Its Practical Significance On Expanding Consumption Demand In China

Consumption occupies an important position and role in the national economy,especially as the ultimate demand, consumption plays an important role in stimulatingeconomic growth. More than30years since reform and opening up, China’s economy hasmaintained rapid growth, but the consumption rate is on a downward trend. Consumptionrate is the highest since reform and opening up from1978to1992, with consumption ratemaintained from60percent to70percent. But after1992, China’s consumption ratedecline. From1993to1998, the consumption rate decreased from50percent to60percent. From1999to2001, the consumption rate is slightly increased but stillmaintained from61percetn to62percent.From2002to2010, the consumption rate hasappeared to glide substantially, from59.6percent down to48.2percent, since2011theconsumption rate is slightly increased but also no more than50percent, with49.1percent in2011,49.5percent in2012.Investment, consumption, exports are three carriages stimulating economic growth,but the role of consumption in China’s economic growth is not strong. Especially after2008the international financial crisis, expanding domestic demand, especially theimportance of expanding consumption demand highlights. Currently our country is in thekey period of economic transformation and economic structure adjustment, lacking ofconsumption demand is the main reason restricting China’s economic structureadjustment. As an important part in the national economy, expand consumption demandis related to our economic development transformation, related to the overall situation ofChina’s economic development.Expanding consumption demand needs theory. Marx’s consumption theory andwestern consumption theory are the two coexisting theoretical system, westernconsumption theory applies mathematical analysis and econometric analysis methods toresearch on consumption, and is recognized as the mainstream consumption theory byforeign academia. China is currently in a special dual transition period from dualeconomy to unified economy, from planned economy to market economy, so lacking ofconsumption demand has been most affected by transformation and institutional factors. However, western consumption theory does not consider the influence of socialtransformation and institutional factors on consumption, therefore, western consumptiontheory can not fully meet the needs of expanding consumption demand in china. China’seconomic practice urgently needs Marx’s consumption theory.But from domestic and international research on the Marx’s consumption theory, themain contents of Marx’s consumption theory has not been clearly demonstrated, researchon development process of Marx’s consumption theory, historical contribution andcontemporary value of Marx consumption theory is more scarce. Research on Marx’seconomy theory of foreign scholars rarely involve consumption theory, some studiesexploring consumption is related only in the framework of Marx’s social reproductionand economic crisis theory. The domestic scholars have conducted researches on Marx’sconsumption theory, and properly deal with the relationship between Marx’sconsumption theory and Marx’s reproduction and economic crisis theory, which makesMarx’s consumption theory can appear as an independent theory. But domestic scholars’study on Marx’s consumption theory focused more on the interpretation of specificcontent of the Marx’s consumption theory and lacking of the system research on Marx’sconsumption theory, which makes the content system of Marx’s consumption theory cannot be clearly shown. Domestic scholars’ study on the development process of Marx’sconsumption theory, historical contributions and contemporary value of Marx’sconsumption theory is lacking.Applying induction and deduction, comparative analysis, mathematical analysis,this paper studies the development process of Marx’s consumption theory, the maincontents of Marx’s consumption theory, the historical contribution and contemporaryvalue of Marx’s consumption theory, on the basis of Marx’s consumption theory, we putforward suggestions and countermeasures to expand our country’s consumption demand.The main research of this paper draws the following conclusions:First, the germination of Marx’s consumption theory is in the1940s, the initialformation of Marx’s consumption theory is from1950s to1960s, the final formation ofMarx’s consumption theory is from1970s to1980s.Second, Marx’s consumption theory mainly includes the consumption andconsumption structure theory, the role of consumption in the social reproduction, the production and consumption ratio theory, the productive capacity theory, theconsumption credit theory, the consumption concept theory.Third, Marx’s consumption theory has important contribution to the development ofthe consumption theory. First, introducing personal consumption into economic researchscope.Second,establishing the basic categories and main contents for macro consumptiontheory.Third,defining scientifically the dialectical relationship between production,distribution, exchange and consumption. Fourth, putting forward the scientific productionand consumption ratio theory. Fifth, studying deeply the impact of income distribution onconsumption. Sixth, laying a theoretical foundation for the study of consumption gap.Fourth, methodology and the basic principle of Marx’s consumption theory haveimportant contemporary value. Marx’s consumption theory’s methodology contributes tothe formation of profound understanding on consumption, and is helpful to theinnovation and development of consumption theory. The basic principle of Marx’sconsumption theory has important contemporary value. First it shows production,distribution, exchange, consumption should be promoted together, cannot be biased.Second, investment, consumption, export should be coordinated growing, may not getthis and lose that. Third, productivity and consumption capacity must be coordinated, cannot be one-sided emphasis on productivity and ignore consumption capacity. Fourth,consumption credit have important impacts on consumption. Fifth, and consumptionconcept is very important. Sixth,reasonable consumption structure and consumption gaphave important effect on consumption.Fifth, base on Marx’s consumption theory, currently expanding consumptiondemand in China should adjust the ratio between investment and consumption, correctlyhandle the relationship between investment and consumption ratio, keep the benigninteraction between the industry structure and consumption structure, reform the incomedistribution system, developing circulation industry, promote the healthy development ofconsumption credit, promote the formation of correct consumption concept.