The impact of the change of Engel s coefficient on people s living standards in China

Effect? Obviously. Go to the market and look at the price of vegetables, and then go home and look at the salary.

Engel's coefficient is. In the first half of 2021, the Engel coefficient of national residents was a year-on-year decrease of one percentage point. The Engel coefficient is regarded as a "scale" to measure the people's living standards, and the Engel coefficient of Chinese residents is close to the 20%-30% affluence standard classified by the United Nations.

The lives of residents close to the standard of affluence have an urgent need for the high-quality development of the "happiness industry".

The meaning of Engel's coefficient and its significance.

Meaning, Engel's coefficient (engel's coefficient) is the share of total food expenditure to total personal consumption expenditure.

Significance: The Engel coefficient is often used to measure the living standards of people in a country or region. According to the criteria proposed by the Food and Agriculture Organization of the United Nations, an Engel coefficient above 59% is considered poor, 50-59% is subsistence and clothing, 40-50% is moderately well-off, 30-40% is rich, and less than 30% is the richest.

In 2019, the average was affluent. For example, in 1997, the Engel coefficient of urban residents in Fujian Province was the highest among all provinces in China, reaching 62%, and that in Hainan Province it was 59%; The Engel coefficient of urban residents in Shaanxi Province and Ningxia Province is 47%, and that of Ningxia is 46%.

Second, residents of different income levels in the same year also conform to Engel's law, for example, in 1997, when they were ranked into quintiles according to disposable income, their Engel coefficients were: and. At the end of 2009, the statistics were:

In 2008, the proportion of food consumption expenditure of urban households in the total household consumption expenditure was as follows: the Engel coefficient of urban households was; Rural households are.

Benefits of a reduction in Engel's coefficient:

The decrease of Engel's coefficient reflects the general trend of residents' consumption upgrading. In the past five years, more and more imported goods have entered the homes of ordinary Chinese people, "Chinese fashion brands" have repeatedly amazed the world, unmanned stores and other new models lead the world, and the pace of exploration of Chinese tourists has pushed China to the position of the world's largest outbound travel country.

With the development of economy and society and the continuous improvement of residents' income levels, today's Chinese are no longer satisfied with consumption, but are upgrading to 'enjoying life'. The consumption upgrade itself has become a strong driving force for China's economic development and attracted global investors.

The above content refers to: Encyclopedia-Engel coefficient.

Chinese Engel coefficientEach year is different, and the Engel coefficient data for key years in China changes:

In 1978, the average was 60 per cent (68 per cent in rural areas and 59 per cent in urban areas), which was a poverty level.

In 2003, the average was 40 per cent (46 per cent in rural areas and 37 per cent in urban areas).

In 2015, the average was relative affluent.

As of 2016, the average was relative affluent, just one percentage point away from rising to affluent.

Attention should be paid when using Engel's coefficient:

Engel's coefficient Amount of food expenditure The amount of total expenditure, in addition to food expenditure, also the proportion of clothing, housing, daily necessities, etc., in the growing household income or total expenditure, has also increased for a period of time, and then shows a decreasing trend. According to the standard classification of the Food and Agriculture Organization of the United Nations, the Engel coefficient is 40%-49% for the moderately well-off, 30%-39% for the rich, and below 30% for the richest.

The Engel coefficient is calculated by excluding the cost of housing or financial products. As far as the current situation in China is concerned, the expenditure on buying a house is an asset transfer or asset investment. Other personal investment expenditures are also not included in the total personal consumption.

Summary. It shows an obvious downward trend line trajectory, which shows that the proportion of food purchased in the average income of Chinese residents is decreasing, and it can also be understood that the food supply has basically met the cyclical needs of people's lives, which is a good thing for China, with a population of 1.4 billion, and a good news for the world.

How has the Engel coefficient changed among ordinary Chinese people, and why?

It shows an obvious downward trend line trajectory, which shows that the proportion of food purchased in the average income of Chinese residents has decreased in Bichan Trembling, which can also be understood that the food supply has basically met the cyclical needs of people's lives, which is a good thing for China, which has a population of 1.4 billion, and is also a good news for the world.

How to understand the minimum budget and the maximization of the utility level under the given level of utility.

I don't understand, I'm sorry.

Engel's coefficient (ENGEL's coefficient) is the proportion of total food expenditure to total personal consumption expenditure.

If the Engel coefficient is high, it proves that the food expenditure is high, and of course the standard of living is low.

Because of the low standard of living, more money is spent on food (relatively more).You can think about it, with a high standard of living, people go back to travel, buy high-end clothes, cosmetics, etc., so that food spending is relatively less than that of old socks. (I understand the meaning of Xianghao Ling, which is the specific gravity).

Engel's coefficient is the proportion of total food expenditure to total personal consumption expenditure, which is a popular concern in recent years, generally reflecting the level of living standards, and the Engel coefficient is generally higher in developed countries.

1.It is recommended that you pay more attention to your own life and improve the Engel coefficient.

2.Live seriously, be kind to yourself, eat and drink well.

3.Work hard and enjoy a good life.

Extended Materials. 1.Engel's coefficient is the number of proportions obtained according to Engel's law.

In the middle of the 19th century, the German statistician and economist Engel investigated the consumption of Belgian households with different incomes, studied the impact of income growth on the composition of consumption demand and expenditure, and proposed a regular principle, that is, Engel's law. .The main point is that the smaller the household or individual income, the greater the proportion of the household or individual income spent on subsistence food.

For a country, the poorer a country is, the greater the proportion of the average expenditure per citizen on food. The Engel coefficient is ultimately determined by the share of food expenditure in total expenditure. An Engel coefficient of more than 59 percent is considered poor, 50 to 59 percent is food and clothing, 40 to 50 percent is moderately well-off, 30 to 40 percent is rich, and less than 30 percent is the richest.

2.The formula for Engel's law:

Percentage change in food expenditure Percentage change in total expenditure x 100% = proportion of food expenditure to total expenditure (r1).

or % change in food expenditure % change in income x 100% = ratio of food expenditure to income (r2).

Note: R2 is also known as the income elasticity of food spending. Engel's law is based on empirical data.

It only applies to the premise that all other variables are constants. Therefore, when examining the change of the proportion of food expenditure in income, the influence of factors such as urbanization degree, food processing, catering industry, and food structure changes on the growth of household food expenditure should also be considered. Only when the average level of food consumption is high will a further increase in income not have a significant impact on food expenditure.

Engel's coefficient is a proportional number obtained according to Engel's law, which is an indicator that reflects the level of living standards. The formula is as follows: Engel's coefficient:

Food Expenditure Total Expenditure x 100% = Engel Coefficient In addition to food expenditure, the proportion of clothing, housing, daily necessities and other expenditures in the growth of household income or total expenditure has also shown a downward trend after a period of growth. Engel's coefficient is an important indicator commonly used in the world to measure the living standard of residents.

China's per capita gross national income (GNI per capita) is only 940 US dollars, which belongs to the ranks of lower-middle-income countries classified by the World Bank according to GNI per capita; In 2010, China's per capita GNI reached US$4,340, reaching the standard of an upper-middle-income country for the first time. In 2021, China's per capita GNI further rose to US$10,410, exceeding the US$10,000 mark for the first time, higher than the average of US$9,074 in upper-middle-income countries.

In 2000, among the 207 countries and regions released per capita GNI data by the World Bank, China ranked only 141st; In 2021, among the 192 countries and regions that released data, China rose to 71st, an increase of 70 places from 2000, and its ranking in the world has increased significantly.

Engel's coefficient has decreased for 8 consecutive years

Meantime. The coefficient of Engechang Yin'er of Chinese residents has dropped markedly, and the people's living standards have improved markedly. In 2021, the Engel coefficient of Chinese residents has declined for eight consecutive years, reaching the United Nations standard of 20%-30% of wealth.

With the continuous advancement of the construction of a moderately prosperous society, the material living standards of Chinese residents have continued to improve.

Ownership of major consumer durables has increased significantly. In 2021, the number of washing machines, refrigerators (cabinets), and air conditioners per 100 households nationwide will reach units, units, and units respectively, and the number of cars per 100 households will reach units.

The total number of students enrolled in higher education exceeds 40 million

From the perspective of health and education indicators, the physical fitness of China's people has been significantly enhanced, and the main health indicators are better than the world average. Life expectancy has increased dramatically, and access to basic education has reached the world's highest level.

In 2021, China's average life expectancy reached years, an increase from 2000, and higher than the average years and years of the world and upper-middle-income countries, respectively. In 2018, China's expected years of education are years, higher than the world average, higher than the year 2000, and one of the countries with the largest increase in the same period.

There has been a marked increase in the coverage of primary and secondary education. In 2021, the consolidation rate of nine-year compulsory education in China reached the average level of high-income countries in the world. In 2021, China's gross enrollment rate in higher education increased from 2000 to more than 40 million students, making it the largest higher education system in the world.

According to the data released by the National Bureau of Statistics of China, the Engel coefficient of Chinese households in 2019 was one percentage point lower than that of the previous year. This data shows how much Chinese residents spend on food as a percentage of their total spending. The higher the Engel coefficient, the greater the proportion of food spending, and vice versa.

Engel's coefficient is an important indicator to measure the changes in the level of food expenditure and living standards of urban and rural residents.