What Is Consumer Spending?

Household consumption expenditure refers to the total expenditures of urban and rural residents for personal consumption and collective consumption for personal consumption. Includes expenditure on purchasing commodities and non-commodity expenditures such as cultural services and living services. For rural residents, it also includes expenditures on self-sufficient products for living consumption. Collective consumption for individuals refers to the expenditure of goods and services provided to individuals collectively; it does not include various non-consumption expenditures. Its form is to comprehensively reflect the living consumption level of urban and rural residents through the average annual consumption expenditure of each resident.

Household consumption expenditure

Right!

Household consumption expenditure refers to the use of urban and rural residents

Its calculation formula is:

Rural households throughout the year

Citizens

Household consumption expenditure refers to the total amount of goods and services provided by resident residents during the accounting period.

To calculate the total consumption expenditure of residents, it is usually carried out separately for urban residents and rural residents. The following issues should be paid attention to in specific accounting: 1) Consumption expenditure compliance

There are two main accounting methods for household consumption expenditure:

One method, called the direct kernel algorithm, calculates consumption expenditure by adding up the amount of goods and services used for direct personal consumption by residents based on actual consumption flow.

The other method is called the indirect extrapolation algorithm, which uses the distribution accounting data to estimate consumption expenditure based on the balance of payments relationship. The difference between the non-financial investment and net financial investment equivalent to savings based on the disposable income of the residential sector is the consumer expenditure.