Will Consumption Expenditures in China Increase Rapidly?

After the world economic downturn and the slowdown in the growth of Chinese exports, there has been concern in China that the steady growth of the economy will be affected. One proposed solution is for the government to encourage the increase in domestic consumption expenditures to make up for some of the loss in exports. In this article I would like to present some evidence to suggest that there may be a rapid increase in domestic consumption simply because the consumers themselves decide to do so…