| Urbanization refers to the process in which a country or a region’s population,assets,technology and services realize aggregation.In the process of urbanization,human’s life style,mode of production and organization are also changing accordingly.In the past ten years,the process of urbanization in China has been advancing rapidly,and has achieved great success,but many deep problems have begun to emerge.In order to solve these problems,the Party Central Committee pointed out that we should change the way of urban development to ensure the healthy development of urbanization in China.Hubei Province is an important province in Central China.Agriculture occupies an important position in Hubei Province.The proportion of the rural population in the total population is higher and the consumption level of rural residents is low,which are the two prominent problems.The influence of the development of urbanization on urban residents’ consumption is different from the impact on rural residents’ consumption.This paper mainly studies the influence of the urbanization on the rural residents’ consumption in Hubei,in the hope to accelerating the process of urbanization in Hubei Province so as to promote the rural residents’ consumption and improve the living standards of rural residents.Based on the existing research at home and abroad,taking Hubei Province as an example,this paper makes a theoretical and empirical research on the impact of urbanization on the consumption of rural residents.From the theoretical aspects,this paper starts from the related concepts and theories of urbanization and consumption,and makes a qualitative analysis of the impact of urbanization on rural residents’ consumption;From the empirical aspects,this paper,based on Hubei Province’s urbanization rate,rural residents’ consumption level and the relevant data of rural residents’ consumption structure,builds a vector autoregressive model(VAR)model by using the impulse response and variance decomposition methods to analyze the influence of urbanization on rural residents’ consumption in Hubei Province.Finally,based on the results of qualitative analysis and quantitative analysis,this paper puts forward some countermeasures and suggestions on how to develop urbanization to improve rural residents’ consumption level: 1,develop the new type of urbanization energetically and promote the growth of rural residents’ consumption;2,improve the quality of urbanization and give full play to the leading role of large cities;3,improve the farmers’ income level so as to provide impetus for the growth of rural consumption;4,deepen the reform of household registration system and narrow the gap between urban and rural residents’ consumption;5,improve the social security system so as to enhance the willingness of rural residents to consume;6,pay attention to the spread of consumer knowledge and improve the rural residents’ consumption level. |