Research On The Influence Of Consumer Credit On The Upgrading Of China’s Industrial Structure

Industrial structure adjustment has always been an important means of China’s economic transformation.With the steady progress of supply-side structural reform,the upgrading process of China’s industrial structure has been accelerating,which provides a continuous power for the high-quality development of the national economy.However,China’s industrial structure is still quite unbalanced at present.There are problems such as unbalanced regional development,excess capacity and slow development of emerging service industry,so it is urgent to promote further upgrading of industrial structure.China proposed a new development pattern of "double circulation" in 2020,indicating that the country should focus on the domestic economic cycle and constantly increase domestic effective demand,especially consumption demand,as the final demand,plays a fundamental role in supporting economic growth.Consumer credit is the important factor to be linked to the consumption and the industrial structure effectively,on the one hand,a new stage of our country is in the consumer market of upgrading,the residents in our country for education,tourism,information,such as pension increasing the demand for new consumption preference,but rely on their current income has been unable to meet the demand of the new consumption,The emergence of consumer credit to a large extent can make up for the residents of the current income and consumer demand does not match the defect.On the other hand,as an important part of the modern financial system,consumer credit can provide financial support for promoting industrial development,and influence the capital turnover,production scale and structural layout of manufacturers,thus changing the industrial structure.Therefore,under the background of China’s consumption upgrading,economic transformation and double-cycle new development pattern,it is of great significance to discuss the impact of consumer credit on China’s industrial structure upgrading.In view of this,this paper explains the internal mechanism of consumer credit affecting industrial structure upgrading on the basis of combing the relevant literature and theories about consumer credit and industrial structure upgrading,and uses domestic provincial panel data from 2008 to 2019 to conduct empirical analysis by using fixed effect model.At the same time,systematic GMM model is used as one of the robustness tests to overcome the possible problems of reverse causality and endogeneity,so as to explore the impact of consumer credit on the upgrading of China’s industrial structure,and to further examine the impact mechanism.The results show that the development of consumer credit can significantly promote the adjustment and upgrading of industrial structure,and form a positive adjustment effect on the optimization and upgrading of China’s industrial structure through improving residents’ consumption level,promoting technological progress and guiding resource allocation.After further regional regression,it is found that the promotion effect of consumer credit on industrial structure upgrading is different among different regions.Specifically,the central region is the largest,the eastern region is second,and the western region is the smallest.After the phased regression,it is found that the application of Internet in consumer credit industry improves the promotion effect of consumer credit on the upgrading of industrial structure.The higher the combination degree of Internet and consumer credit and the longer the time,the more it can promote the upgrading of industrial structure.Finally,policy suggestions are given based on the paper.The main contributions of this paper are as follows: First,there are few literatures directly exploring the effect between consumer credit and industrial structure upgrading,and there is a lack of empirical research.Therefore,this paper puts them in the same framework for systematic analysis and empirical test.Second,in the empirical research,this paper takes regional factors,the combination mode of Internet and consumer credit into consideration,so as to study the differential impact of the development of consumer credit in China on the upgrading of industrial structure.