Author(s)

Kunpeng Dai

Corresponding Author

Kunpeng Dai

Abstract

This paper uses the data from 2000 to 2015 in our country, from the actual data of urban and rural investment and consumption, by establishing a simultaneous equation model, and analyzes the relationship of urban and rural investment, consumption and economic growth. The main conclusions show that although rural investment and consumption of buy-backs are relatively less, its pull function of investment and consumption to economic growth is bigger than urban pull function of investment and consumption, which provides theoretical basis for promoting China's economic growth.

Keywords

Simultaneous Equation Model, Economic Growth, Investment, Consumption