Dynamic Correlation of Chinese Urban and Rural Residents Transfer Income and Consumption Gap

Based on empirical data,this paper analyzes dynamics correlation of urban and rural residents transfer income and consumption gap. Research shows that: our government transfer payments' reverse adjustmentrole becomes a key factor in causing the gap between urban and rural consumption; at the same time,as a result of economic growth,industrial upgrading and rural income,consumption growth intrinsic relevance,economic growth and industrial upgrading have help to curb the consumption gap between urban and rural areas; in addition,China's long been theurban- biasedpolicy made the city over crowding rural public resources,which is not conducive to the growth of rural consumption. Therefore,in order to reduce the gap between urban and rural consumption,it should change the urban- biasedtransfer payments system,correcttransfer income of urban and rural residents' consumption impact path,stable consumer expectations of rural residents,on the basis of the national economy's sustained and stable growth,and the optimization and upgrading of industrial structure.