Human Capital,Risk Appetite And Consumption Credit

The contribution of consumption to Gross Nation Product(GDP)was the first to exceed investment,and the share of consumption accounted for 66.4%of GDP in 2016.Consumption has became an important kinetic force to sti mulate the economic growth,and credit can promote the development of cons umption and release the potential of consumption On the macro level,consum er credit plays an important role in promoting the country’s economic develop ment.Since John Y.Campbell professor put forward the concept of family fin ance,consumer credit is closely related to each family in the micro level.This paper takes consumer credit as the research focus,and research the literatures about consumer credit both at home and abroad,and makes theoreti cal research and empirical analysis.Theoretical research is mainly based on th e development of macro consumer credit,and explains the scale and structure of consumption credit.On the micro level,we study the characteristics of fa mily finance that tend to consume credit.We empirically analyze the relations hip between human capital and consumption credit by introducing Chinese fa mily financial micro data(CHFS),introducing risk appetite mediator variables.This paper argues that education can affect its credit consumption by cha nging one’s risk appetite.Different educational background,risk preferences ar e different,thus showing different characteristics of consumption.First of all,Ordered Probit model is constructed to find that the higher the education leve l,the more preference for risk,the lower the degree of education,the more r isk averse.Secondly,the average credit consumption of higher education is 924.9 yuan higher than that of secondary education,1039.3 yuan higher than th at of primary education.Credit consumption is bimodal distribution,with high degree of dispersion and great difference among individual consumers.In the highly educated population,the average income above the number is significa ntly less than the average risk,the number of income is downward concentrat ion,and the risk is upward concentration.Income exceeds the average and th e risk exceeds the average number of people accounted for 21.2%,lower than the average income above the proportion of about 10 percentage points,nearl y 1/3 of high-income groups do not prefer risk.Sample data show that high-i ncome people do not necessarily prefer risk,but people who prefer risk gener ally have higher incomes.In general,education and risk preference have a positive impact on consu mercredit,and the more people prefer risk,the more they tend to credit cons umption.Finally,based on the research results,three suggestions are put forw ard:(1)improve the consumption credit system,formulate relevant laws and r egulations;(2)continuously improve the income of residents,increase the awa reness of residents’ consumption;(3)increase investment in education and enh ance financial literacy.