Study on the Impact of Digital Inclusive Financial Development on China's Consumption

Lei Mei

doi:10.6981/FEM.202411_5(11).0013

Authors

Lei Mei

DOI:

https://doi.org/10.6981/FEM.202411_5(11).0013

Keywords:

Digital Financial Inclusion; Resident Consumption; Heterogeneous Effect.

Abstract

Resident consumption is an important driving force for China's economic growth, and boosting resident consumption is an important measure to promote high-quality economic development at this stage in China. This paper empirically examines the impact of digital inclusive finance on residents' consumption using panel data from 2011-2022 for 31 provincial-level administrative regions in China, and further analyzes the urban-rural and regional heterogeneity of this impact. The study finds that: the development of digital inclusive finance has a significant positive impact on residents' consumption; the results of the urban-rural heterogeneity test show that digital inclusive finance has a greater role in promoting the consumption of rural residents; the results of the regional heterogeneity test show that compared with the eastern region, the positive impact of digital inclusive finance on residents' consumption is greater in the central and western regions. Finally, based on the above conclusions, this paper puts forward policy recommendations such as strengthening the construction of digital inclusive financial infrastructure.

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