The Regional Differences Analysis Of The Influence Of The Fiscal And Monetary Policies On Residents' Consumption

After the outbreak of the financial crisis in 2008,China's economy development was seriously affected.And at that time,China's economy was mainly export-oriented,which caused sharp declining in the external demand leading to a sharp drop in export,so relying on external demand to develop the economy has encountered great obstacles.At the same time,the lack of domestic consumer demand has made it impossible for domestic demand to replace external demand and take up the mission of stimulating economic growth,so China's economy development was facing great downward pressure.In recent years,the Chinese government has put forth a number of positive fiscal policies and relatively loose monetary policies,which are regarded as important macro-control measures to promote household consumption and indispensable tools for stimulating domestic demand growth.However,since the implementation of these policies,how do they impact on residents' consumption in different areas ? What are the effect sizes and directions? What are the reasons for the differences ?These are very important research questions.Based on the realistic background,this paper mainly studies the following contents:(1)to sort out the fiscal and monetary policies after the financial crisis in 2008,and to sort out the development trends of residents' consumption in various regions;(2)adoptting the system generalized method of moments to analyze the differences in the effects of fiscal and monetary policies on the residents' consumption in the eastern,middle,and western regions.At the same time,each region is divided into five levels of consumption: low,medium-low,medium,medium-high,and high adoptting the dynamic panel quantile regression method to analyze the differences of different levels of consumption in the same region.The following conclusions are drawn through empirical analysis:(1)people's livelihood expenditure has a crowding out effect on the residents' consumption in medium and medium-high levels in the eastern region;people's livelihood expenditure has a significant and positive driving effect on the residents' consumption except some provinces and cities in low consumption level in the middle region;people's livelihood expenditure has no significant effect on the western region.As one of the important revenue sources in fiscal policy,tax revenue has played a more significant positive role in the promotion of the provinces and cities in the four levels of consumption: medium-low,medium,medium-high and high levels in the eastern region;it has no significant effect on the middle and western region;(2)The money supply has negatively restrained the residents' consumption in medium and low levels in the eastern region;it has played a positive role in the residents' consumption in low and high levels in the middle region and the residents' consumption in the medium-high and high levels in the western region.Consumer credit has played a positive role in promoting the consumption of residents in low and high levels in the eastern region,as well as the consumption of residents in low,medium and high levels in the middle region;however,it has an inhibitory effect on the residents' consumption in medium-high and high levels in the western region.Finally,according to the empirical results,analyzing the reasons for the differences,some concrete financial and monetary policies and suggestions for improvement are proposed for different regions.