Research On The Impact Of The New Rural Social Security On Rural Residents' Consumptio

For a long time,China’s economy has continued to grow rapidly,and investment and export have played a major role in promoting it.However,in recent years,due to the pressure of resources and the environment and international trade friction and other factors,the economic growth mode of "investment + export" has come to an end,so the sustainable and healthy development of China’s economy is facing great challenges,and the role of consumption in promoting economic development has been increasingly valued.In particular,subject to the urban-rural dual system,there is a large economic development gap between urban and rural areas in China,and the phenomenon of insufficient consumption of rural residents is more common.Therefore,how to tap and stimulate the consumption potential of rural residents has become the focus of the government and academic circles.As an important part of social security,the new rural insurance aims to solve the problem of rural residents "elderly care",which can not only improve the income level of insured residents,but also reduce the preventive savings of insured residents,thus placing high hopes in stimulating rural residents’ consumption and expanding domestic demand.Moreover,since 2009,the new rural insurance system has been gradually implemented nationwide,and relevant policies and measures have been continuously improved.Then,whether the new rural insurance has played the expected effect of expanding rural consumption has become an urgent question for economists to answer.At present,many scholars have carried out relevant studies and analyzed the consumption incentive effect of the new rural insurance from many perspectives and paths,but no relatively consistent conclusion has been obtained,and there is a significant lack of detailed mechanism demonstration.Therefore,this paper will be of great significance to discuss the consumption incentive effect of new rural insurance from both theory and experience,to further understand the role of new rural insurance and expand domestic demand.First,this paper systematically sorts out the relevant studies at home and abroad,based on the traditional consumption theory and income distribution theory,combined with the policy practice of the new rural insurance in China,and analyzes the internal mechanism of rural residents from three aspects of income growth effect,income redistribution effect and psychological expectation effect.Secondly,using the database of Chinese Family Tracing Survey(CFPS),we examine the positive effect of new rural insurance on rural consumption).Secondly,the dual difference model and the dual difference model after propensity score matching can effectively overcome the sample selectivity bias and endogeneity problems,which is conducive to accurately estimate the consumption incentive effect of NRCMS.Finally,the robustness of the results of the above empirical analysis is also examined by changing the study methods,replacing the measures,and adjusting the study samples.The results show that NRCMS increases the consumption of rural residents and is an important way to expand domestic demand.Moreover,the rural residents by increasing income level,narrowing income gap and enhancing subjective sense of security,in high income,developed areas and young groups,in low income,underdeveloped areas and older groups.Therefore,in order to further stimulate rural consumption,to effectively expand domestic demand,this requires: first,to increase the pension subsidies in rural areas,in order to reduce the insurance burden of rural residents.Second,differentiated subsidy policies to narrow the income gap between urban and within rural areas.Third,we should strengthen the publicity of the new rural insurance policy to better enhance the consumer confidence of rural residents.