September 12, 2025China & World Economy

Inequality and Household Consumption: The Role of Intergenerational Support

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A significant negative relationship exists between inequality and household consumption in China, especially for married households with children.
Instrumental variable regressions confirmed the robustness of the negative effect, indicating strong implications for economic policy.
The relationship varies based on gender composition, marital status, and age of household heads, underscoring the need for tailored interventions.
Increased government spending on education can mitigate the adverse effects of inequality on household consumption, suggesting a policy approach.

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Implication

Analysis reveals a negative relationship between inequality and household consumption, highlighting intergenerational support and government education spending.

Cite This Study

Hu et al. (2025) studied this question.

synapsesocial.com/papers/68d413ee713b0b5dfea617da https://doi.org/10.1111/cwe.12607

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Implication

Analysis reveals a negative relationship between inequality and household consumption, highlighting intergenerational support and government education spending.

Inequality and Household Consumption: The Role of Intergenerational Support

Key Points

Discussion

Implication

Cite This Study

Inequality and Household Consumption: The Role of Intergenerational Support

Key Points

Discussion

Implication

Cite This Study