Reevaluation of the relationships between rural residents' income structure and consumption:Based on the empirical analysis of provincial panel data

Based on the extended Keynesian's absolute-income hypothesis theory,using the panel data of 31 provinces of China from1997to 2008,this paper empirical analyzes the effects of salary-income,family-operating-income,property income and transfer income on rural residents' consumption.The results show that:with the structure changing of rural income,the wage income and the family-operating-income have a kind of dual effect on consumption of rural residents;property and transfer income have limited and multiplier impact on consumption;the income structures have different effects on consumption expenditure in different regions.According to those mentioned above,this paper proposes some policy suggestion to promoting the rural consumption in the different area.