An Empirical Study Of Fiscal Expenditure On Social Security Consumer Impact On The Residents

China’s economy after three decades of reform and opening up of rapid development, has made remarkable brilliant achievements, but also exposed the economy is highly dependent on exports weaknesses and consequences of conflicts in recent years, the domestic economy is gradually emerging, economic downward pressure is gradually increased, this is even more the need to promote the development of domestic demand as a new economic growth point, March 5,2016, Premier Li Keqiang made the 2016 annual government work report, he stressed that continue to strengthen the fundamental role of consumer-driven economic growth, adapt to the trend of consumption upgrade, continue to promote the "Internet+" strategy and the like. Causes of insufficient effective demand, many of them social security system is not perfect is an important reason, because it is directly related to the uncertainty of the expected future residents, improve the level of social security, improve the social security system in China is to promote consumption, an important way to promote economic growth in China.In this paper, fiscal expenditure on social security to explore the relationship between social security and consumption of viewpoint, the first of the social security system, consumption theory and its status of a brief introduction and summary, the use of comparative analysis, quantitative analysis and empirical analysis, according to China 31 provinces and cities in 2007-2014 related panel data, the establishment of the panel fixed effects model to study the impact of social security expenditure on household consumption by our unit root test, co-integration test, and detailed analysis of the relationship between the residents closest, most income by residents concerned about the impact of the pension fund and medical insurance fund and the impact on consumer spending on household consumption of health care, according to this empirical analysis concluded that the main conclusions are: Social security expenditures grew faster than GDP growth, di the relationship between the growth rate were substantially suited to the state in social retail goods, consumer gap between developed areas and least developed regions is very great, consumption rate, final consumption in just a decade time grew more than six times, but the overall rate of final consumption in decline, from urban and rural consumption structure, differences in consumption levels more from the consumption level of rural residents, while the gap between urban and rural consumption rate year by year It tended to increase. From the empirical results, a unit of the Social Security increase fiscal expenditures will increase consumption of 0.055 units, one unit increase in pension fund income will increase 0.08 units of consumption, an increase of one unit of health care spending will increase 0.06 units household consumption, while consumption affect health insurance fund income of Chinese residents is not significant. In addition, fiscal expenditure on social security and health care expenditures lag three, when the most significant empirical results show that additional unit of fiscal expenditure on social security will increase 0.161 units of consumption, increase fiscal health spending one unit will an increase of 0.092 units of consumption, pension and medical insurance fund income lag of consumption is not significant, primarily related to immediate consumption. Thus, due to the imperfections of the social security system, so that increased government spending on social security and the residents can not effectively reduce uncertainty about the future expectations, thereby increasing the current consumption of the residents, so the final chapter put forward a sound social security system in China promoting consumption advice.