Persistence in China’s household consumption level: implications for the new growth model
Author
Abstract
Suggested Citation
DOI: 10.1007/s12197-025-09709-x
Download full text from publisher
As the access to this document is restricted, you may want to search for a different version of it.
References listed on IDEAS
- Zan Yang & Ying Fan & Liqing Zhao, 2018. "A Reexamination of Housing Price and Household Consumption in China: The Dual Role of Housing Consumption and Housing Investment," The Journal of Real Estate Finance and Economics, Springer, vol. 56(3), pages 472-499, April.
- Sowell, Fallaw, 1992. "Maximum likelihood estimation of stationary univariate fractionally integrated time series models," Journal of Econometrics, Elsevier, vol. 53(1-3), pages 165-188.
- John Geweke & Susan Porter‐Hudak, 1983. "The Estimation And Application Of Long Memory Time Series Models," Journal of Time Series Analysis, Wiley Blackwell, vol. 4(4), pages 221-238, July.
- Barbara Broadway & John P. Haisken-DeNew, 2019.
"Keep calm and consume? Subjective uncertainty and precautionary savings,"
Journal of Economics and Finance, Springer;Academy of Economics and Finance, vol. 43(3), pages 481-505, July.
- Barbara Broadway & John P. Haisken-DeNew, 2017. "Keep Calm and Consume? Subjective Uncertainty and Precautionary Savings," Melbourne Institute Working Paper Series wp2017n18, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne.
- Elmi, Zahra (Mila) & Ranjbar, Omid, 2013. "Nonlinear adjustment to the mean reversion of consumption–income ratio," Economic Modelling, Elsevier, vol. 35(C), pages 477-480.
- Xiaolu Wang & Wing Thye Woo, 2011. "The Size and Distribution of Hidden Household Income in China," Asian Economic Papers, MIT Press, vol. 10(1), pages 1-26, Winter/Sp.
- John Campbell & Angus Deaton, 1989.
"Why is Consumption So Smooth?,"
The Review of Economic Studies, Review of Economic Studies Ltd, vol. 56(3), pages 357-373.
- Campbell, John & Deaton, Angus, 1989. "Why Is Consumption So Smooth?," Scholarly Articles 3221494, Harvard University Department of Economics.
- Milton Friedman, 1957. "Introduction to "A Theory of the Consumption Function"," NBER Chapters, in: A Theory of the Consumption Function, pages 1-6, National Bureau of Economic Research, Inc.
- Gil-Alana, L. A. & Robinson, P. M., 1997. "Testing of unit root and other nonstationary hypotheses in macroeconomic time series," Journal of Econometrics, Elsevier, vol. 80(2), pages 241-268, October.
- Marcos D. Chamon & Eswar S. Prasad, 2010.
"Why Are Saving Rates of Urban Households in China Rising?,"
American Economic Journal: Macroeconomics, American Economic Association, vol. 2(1), pages 93-130, January.
- Chamon, Marcos & Prasad, Eswar, 2007. "Why Are Saving Rates of Urban Households in China Rising?," IZA Discussion Papers 3191, Institute of Labor Economics (IZA).
- Mr. Marcos d Chamon & Mr. Eswar S Prasad, 2008. "Why are Saving Rates of Urban Households in China Rising?," IMF Working Papers 2008/145, International Monetary Fund.
- Marcos Chamon & Eswar Prasad, 2008. "Why are Saving Rates of Urban Households in China Rising?," NBER Working Papers 14546, National Bureau of Economic Research, Inc.
- Jang Ping Thia, 2019. "Bank lending – what has changed post crisis?," Journal of Economics and Finance, Springer;Academy of Economics and Finance, vol. 43(2), pages 256-272, April.
- Horag Choi & Steven Lugauer & Nelson C. Mark, 2017.
"Precautionary Saving of Chinese and U.S. Households,"
Journal of Money, Credit and Banking, Blackwell Publishing, vol. 49(4), pages 635-661, June.
- Horag Choi & Steven Lugauer & Nelson C. Mark, 2014. "Precautionary Saving of Chinese and U.S. Households," NBER Working Papers 20527, National Bureau of Economic Research, Inc.
- Qingwang Guo, 2015. "Chinese household consumption: how much is enough?," China Finance and Economic Review, Springer, vol. 3(1), pages 1-8, December.
- Xiaokuai Shao & Yujin Cao & Yangchuan Teng & Jidong Chen & Liutang Gong, 2022. "The Consumption‐Stimulating Effect of Public Rental Housing in China," China & World Economy, Institute of World Economics and Politics, Chinese Academy of Social Sciences, vol. 30(1), pages 106-135, January.
- Shang-Jin Wei & Xiaobo Zhang, 2011.
"The Competitive Saving Motive: Evidence from Rising Sex Ratios and Savings Rates in China,"
Journal of Political Economy, University of Chicago Press, vol. 119(3), pages 511-564.
- Shang-Jin Wei & Xiaobo Zhang, 2009. "The Competitive Saving Motive: Evidence from Rising Sex Ratios and Savings Rates in China," NBER Working Papers 15093, National Bureau of Economic Research, Inc.
- Chamon, Marcos & Liu, Kai & Prasad, Eswar, 2013.
"Income uncertainty and household savings in China,"
Journal of Development Economics, Elsevier, vol. 105(C), pages 164-177.
- Chamon, Marcos & Liu, Kai & Prasad, Eswar, 2010. "Income Uncertainty and Household Savings in China," IZA Discussion Papers 5331, Institute of Labor Economics (IZA).
- Marcos Chamon & Kai Liu & Eswar S. Prasad, 2010. "Income Uncertainty and Household Savings in China," NBER Working Papers 16565, National Bureau of Economic Research, Inc.
- Kai Liu & Mr. Marcos d Chamon & Mr. Eswar S Prasad, 2010. "Income Uncertainty and Household Savings in China," IMF Working Papers 2010/289, International Monetary Fund.
- Chengri Ding & Zhi Li, 2022. "City Size and Household Consumption in China," Land, MDPI, vol. 11(11), pages 1-14, November.
- OlaOluwa S. Yaya & Ahamuefula E. Ogbonna & Fumitaka Furuoka & Luis A. Gil‐Alana, 2021. "A New Unit Root Test for Unemployment Hysteresis Based on the Autoregressive Neural Network," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 83(4), pages 960-981, August.
- Luis A. Gil-Alana & OlaOluwa S. Yaya, 2021.
"Testing fractional unit roots with non-linear smooth break approximations using Fourier functions,"
Journal of Applied Statistics, Taylor & Francis Journals, vol. 48(13-15), pages 2542-2559, November.
- Gil-Alana, Luis A. & Yaya, OlaOluwa S, 2018. "Testing Fractional Unit Roots with Non-linear Smooth Break Approximations using Fourier functions," MPRA Paper 90516, University Library of Munich, Germany.
- Robert J. Barro, 2016. "Economic Growth and Convergence, Applied Especially to China," NBER Working Papers 21872, National Bureau of Economic Research, Inc.
- Junsoo Lee & Mark C. Strazicich, 2003. "Minimum Lagrange Multiplier Unit Root Test with Two Structural Breaks," The Review of Economics and Statistics, MIT Press, vol. 85(4), pages 1082-1089, November.
- Dwight H. Perkins, 2023. "Structural Challenges to Sustained Economic Growth in China," China & World Economy, Institute of World Economics and Politics, Chinese Academy of Social Sciences, vol. 31(1), pages 22-43, January.
- Yun K. Kim & Mark Setterfield & Yuan Mei, 2015.
"Aggregate consumption and debt accumulation: an empirical examination of US household behaviour,"
Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 39(1), pages 93-112.
- Yun Kim & Mark Setterfield & Yuan Mei, 2012. "Aggregate Consumption and Debt Accumulation: An Empirical Examination of US Household Behavior," Working Papers 1204, Trinity College, Department of Economics.
- Xing Xiong & Xinghou Yu & Yuxin Wang, 2022. "The impact of basic public services on residents’ consumption in China," Palgrave Communications, Palgrave Macmillan, vol. 9(1), pages 1-8, December.
- Lugauer, Steven & Ni, Jinlan & Yin, Zhichao, 2019. "Chinese household saving and dependent children: Theory and evidence," China Economic Review, Elsevier, vol. 57(C).
- Shu-Yi Liao & Mao-Lung Huang & Lan-Hsun Wang, 2011. "Mean-reverting behavior of consumption-income ratio in OECD countries: evidence from SURADF panel unit root tests," Economics Bulletin, AccessEcon, vol. 31(1), pages 679-686.
- Dimitris Christopoulos & Eftymios Tsionas, 2002. "Non-Sationarity in the Consumption-Income Ratio: Further Evidence from Panel and Assymetric Unit Root Tests," Economics Bulletin, AccessEcon, vol. 3(12), pages 1-5.
- Fallahi, Firouz, 2012. "The stationarity of consumption–income ratios: Evidence from bootstrapping confidence intervals," Economics Letters, Elsevier, vol. 115(1), pages 137-140.
- Justin Yifu Lin & Fan Zhang, 2015. "Sustaining Growth of the People's Republic of China," Asian Development Review, MIT Press, vol. 32(1), pages 31-48, March.
- repec:ebl:ecbull:v:3:y:2002:i:12:p:1-5 is not listed on IDEAS
- Lee, Dongin & Schmidt, Peter, 1996.
"On the power of the KPSS test of stationarity against fractionally-integrated alternatives,"
Journal of Econometrics, Elsevier, vol. 73(1), pages 285-302, July.
- Lee, D. & Schmidt, P., 1993. "On the Power of the KPSS Test of Stationarity Against Fractionally-Integrated Alternatives," Papers 9111, Michigan State - Econometrics and Economic Theory.
- İmrohoroğlu, Ayşe & Zhao, Kai, 2018.
"The chinese saving rate: Long-term care risks, family insurance, and demographics,"
Journal of Monetary Economics, Elsevier, vol. 96(C), pages 33-52.
- Ayşe İmrohoroğlu & Kai Zhao, 2017. "The Chinese Saving Rate: Long-Term Care Risks, Family Insurance, and Demographics," Working papers 2017-17, University of Connecticut, Department of Economics.
- Chien-Hsun CHEN, 2015. "Trends of Private Consumption in the Restructuring of China’s Economy," East Asian Policy (EAP), World Scientific Publishing Co. Pte. Ltd., vol. 7(04), pages 52-64, October.
- Milton Friedman, 1957. "A Theory of the Consumption Function," NBER Books, National Bureau of Economic Research, Inc, number frie57-1, March.
- Li, Jie & Wu, Yu & Xiao, Jing Jian, 2020. "The impact of digital finance on household consumption: Evidence from China," Economic Modelling, Elsevier, vol. 86(C), pages 317-326.
- Deaton, Angus S, 1977. "Involuntary Saving through Unanticipated Inflation," American Economic Review, American Economic Association, vol. 67(5), pages 899-910, December.
- Karolis Bielskis, 2024. "Homeownership status and its effect for housing wealth - consumption channel in Europe," Journal of Economics and Finance, Springer;Academy of Economics and Finance, vol. 48(3), pages 668-684, September.
- Romero-Ávila, Diego, 2009. "Are OECD consumption-income ratios stationary after all?," Economic Modelling, Elsevier, vol. 26(1), pages 107-117, January.
- Sadiye Baykara & Erdinç Telatar, 2012. "The Stationarity Of Consumption-Income Ratios With Nonlinear And Asymmetric Unit Root Tests: Evidence From Fourteen Transition Economies," Hacettepe University Department of Economics Working Papers 20129, Hacettepe University, Department of Economics.
- Cook, Steven, 2005. "The stationarity of consumption-income ratios: Evidence from minimum LM unit root testing," Economics Letters, Elsevier, vol. 89(1), pages 55-60, October.
- Barry Bosworth & Susan M. Collins, 2008.
"Accounting for Growth: Comparing China and India,"
Journal of Economic Perspectives, American Economic Association, vol. 22(1), pages 45-66, Winter.
- Barry Bosworth & Susan M. Collins, 2007. "Accounting for Growth: Comparing China and India," NBER Working Papers 12943, National Bureau of Economic Research, Inc.
- Hassler, Uwe & Wolters, Jurgen, 1994. "On the power of unit root tests against fractional alternatives," Economics Letters, Elsevier, vol. 45(1), pages 1-5, May.
- Yiping Huang & Jian Chang & Lingxiu Yang, 2013. "Consumption Recovery and Economic Rebalancing in China," Asian Economic Papers, MIT Press, vol. 12(1), pages 47-67, Winter/Sp.
Most related items
These are the items that most often cite the same works as this one and are cited by the same works as this one.- Sakiru Adebola Solarin & Muhammad Shahbaz & Chris Stewart, 2018.
"Is the consumption-income ratio stationary in African countries? Evidence from new time series tests that allow for structural breaks,"
Applied Economics, Taylor & Francis Journals, vol. 50(38), pages 4122-4136, August.
- Solarin, Sakiru Adebola & Shahbaz, Muhammad & Stewart, Chris, 2018. "Is the consumption-income ratio stationary in African countries? Evidence from new time series tests that allow for structural breaks," Economics Discussion Papers 2018-2, School of Economics, Kingston University London.
- Sakiru Adebola SOLARIN, 2017. "The Stationarity of Consumption-Income Ratios: Nonlinear Evidence in ASEAN Countries," Journal for Economic Forecasting, Institute for Economic Forecasting, vol. 0(2), pages 109-123, June.
- Fumitaka Furuoka & Luis A. Gil-Alana & OlaOluwa S. Yaya & Elayaraja Aruchunan & Ahamuefula E. Ogbonna, 2024. "A new fractional integration approach based on neural network nonlinearity with an application to testing unemployment hysteresis," Empirical Economics, Springer, vol. 66(6), pages 2471-2499, June.
- Luis A. Gil-Alana & Antonio Moreno & Seonghoon Cho, 2012.
"The Deaton paradox in a long memory context with structural breaks,"
Applied Economics, Taylor & Francis Journals, vol. 44(25), pages 3309-3322, September.
- Luis A. Gil-Alana & Antonio Moreno & Seonghoon Cho, 2009. "The Deaton paradox in a long memory context with structural breaks," Faculty Working Papers 03/09, School of Economics and Business Administration, University of Navarra.
- Luis Alberiko Gil-Alana & Antonio Moreno & Seonghoon Cho, 2011. "The Deaton paradox in a long memory context with structural breaks," Post-Print hal-00711450, HAL.
- Bollinger, Christopher & Ding, Xiaozhou & Lugauer, Steven, 2022. "The expansion of higher education and household saving in China," China Economic Review, Elsevier, vol. 71(C).
- Luis Alberiko Gil-Alana & Francisco Puertolas-Montanes, 2023. "Profitability of private equity: mean reversion and transitory shocks," Journal of Economics and Finance, Springer;Academy of Economics and Finance, vol. 47(2), pages 458-471, June.
- Manger, Mark S. & Matthews, J. Scott, 2021. "Knowing when to splurge: Precautionary saving and Chinese-Canadians," Journal of Asian Economics, Elsevier, vol. 76(C).
- Monge, Manuel & Romero Rojo, María Fátima & Gil-Alana, Luis Alberiko, 2023. "The impact of geopolitical risk on the behavior of oil prices and freight rates," Energy, Elsevier, vol. 269(C).
- Yi Wen, 2011. "Making sense of China’s astronomical foreign reserves," Working Papers 2011-018, Federal Reserve Bank of St. Louis.
- Caporale, Guglielmo Maria & Gil-Alana, Luis Alberiko & Puertolas, Francisco, 2024.
"Modelling profitability of private equity: A fractional integration approach,"
Research in International Business and Finance, Elsevier, vol. 67(PA).
- Guglielmo Maria Caporale & Luis A. Gil-Alana & Francisco Puertolas, 2022. "Modelling Profitability of Private Equity: A Fractional Integration Approach," CESifo Working Paper Series 9843, CESifo.
- Song, Zhongchen & Coupé, Tom & Reed, W. Robert, 2021.
"Estimating the effect of the one-child policy on Chinese household savings - Evidence from an Oaxaca decomposition,"
China Economic Review, Elsevier, vol. 66(C).
- Zhongchen Song & Tom Coupé & W. Robert Reed, 2020. "Estimating the Effect of the One-Child Policy on Chinese Household Savings: Evidence from an Oaxaca Decomposition," Working Papers in Economics 20/14, University of Canterbury, Department of Economics and Finance.
- Gil-Alana, Luis A. & Infante, Juan & Martín-Valmayor, Miguel Angel, 2023. "Persistence and long run co-movements across stock market prices," The Quarterly Review of Economics and Finance, Elsevier, vol. 89(C), pages 347-357.
- Can Xu & Andreas Steiner, 2022. "Does Public Employment Affect Household Saving Rates? Evidence from Chinese Household Data," CESifo Working Paper Series 9741, CESifo.
- Isha Chawla & Joseph Svec, 2023. "Household savings and present bias among Chinese couples: A household bargaining approach," Journal of Consumer Affairs, Wiley Blackwell, vol. 57(1), pages 648-672, January.
- Wang, Xin & Wen, Yi, 2012.
"Housing prices and the high Chinese saving rate puzzle,"
China Economic Review, Elsevier, vol. 23(2), pages 265-283.
- Xin Wang & Yi Wen, 2012. "Housing prices and the high Chinese saving rate puzzle," Working Papers 2012-038, Federal Reserve Bank of St. Louis.
- Monge, Manuel & Cristóbal, Enrique, 2021. "Terrorism and the behavior of oil production and prices in OPEC," Resources Policy, Elsevier, vol. 74(C).
- Tuomas, Malinen, 2011. "Inequality and savings: a reassesment of the relationship in cointegrated panels," MPRA Paper 33350, University Library of Munich, Germany.
- van Treeck, Till. & Sturn, Simon., 2012. "Income inequality as a cause of the Great Recession? : A survey of current debates," ILO Working Papers 994709343402676, International Labour Organization.
- Hassler, U. & Marmol, F. & Velasco, C., 2006.
"Residual log-periodogram inference for long-run relationships,"
Journal of Econometrics, Elsevier, vol. 130(1), pages 165-207, January.
- Hassler, Uwe & Marmol, Francesc & Velasco, Carlos, 2002. "Residual log-periodogram inference for long-run relationships," Publications of Darmstadt Technical University, Institute for Business Studies (BWL) 18289, Darmstadt Technical University, Department of Business Administration, Economics and Law, Institute for Business Studies (BWL).
- Hassler, Uwe & Marmol, Francesc & Velasco, Carlos, 2009. "Residual Log-Periodogram Inference for Long-Run-Relationships," Publications of Darmstadt Technical University, Institute for Business Studies (BWL) 77562, Darmstadt Technical University, Department of Business Administration, Economics and Law, Institute for Business Studies (BWL).
- Hassler, Uwe & Marmol, Francesc & Velasco, Carlos, 2002. "Residual Log-Periodogram Inference for Long-Run-Relationships," Publications of Darmstadt Technical University, Institute for Business Studies (BWL) 37317, Darmstadt Technical University, Department of Business Administration, Economics and Law, Institute for Business Studies (BWL).
- Hassler, Uwe & Marmol, Francesc & Velasco, Carlos, 2002. "Residual Log-Periodogram Inference for Long-Run Relationships," Darmstadt Discussion Papers in Economics 115, Darmstadt University of Technology, Department of Law and Economics.
- Maria Malmierca-Ordoqui & Luis A. Gil-Alana & Manuel Monge, 2024. "Fractional cointegration between energy imports to the EURO area and exchange rates to the US dollar," Empirical Economics, Springer, vol. 66(2), pages 859-882, February.
More about this item
Keywords
China; Consumption; Household; Persistence; Time trends;All these keywords.
JEL classification:
- C25 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions; Probabilities
- F64 - International Economics - - Economic Impacts of Globalization - - - Environment
- F21 - International Economics - - International Factor Movements and International Business - - - International Investment; Long-Term Capital Movements
Statistics
Access and download statisticsCorrections
All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:jecfin:v:49:y:2025:i:1:d:10.1007_s12197-025-09709-x. See general information about how to correct material in RePEc.
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .
Please note that corrections may take a couple of weeks to filter through the various RePEc services.