Ten Ten Trends of China's Economic Development Towards High Quality

The long-term trend of China's economy has not changed or is impossible to change. It is changing from high-speed growth to high-quality development. New and old momentum are constantly changing. Short-term economic operation may have periodic fluctuations and instability. However, in the whole process of development, it will have ten tendentious changes, which determines China's economy. Potential and future prospects for long-term economic development.

1. The growth of final consumption expenditure has become the first driving force of economic growth

From 2014 to 2018, according to the demand expenditure method, in the three major demand increases of fixed capital formation, final consumption expenditure and net export of goods and services, the growth of final consumption expenditure has become the first driving force of economic growth in China for five consecutive years. Motivation.

Moreover, the popularization and surfing consumption of certain consumer goods are turning to selective consumption with high quality, differentiation and diversification. In 2018, the total retail sales of consumer goods in China reached 38.1 trillion yuan, an increase of 9.0% over the previous year. Although the growth rate slowed down by 1.2 percentage points, the contribution rate of final consumption growth (including service consumption) to economic growth was 76.2%, which was 18.6 percentage points higher than that of the previous year.

2. Advanced consumption structure: the proportion of service consumption in residents'consumption is increasing

In recent years, Engel coefficient of urban and rural residents in China has declined significantly. In 2017, food consumption expenditure accounted for only 28% of the total expenditure of urban residents and only 32% of the total expenditure of rural residents. The more we turn to other areas of consumption.

Compared with commodity consumption, service consumption has maintained a faster growth. Tourism, culture, sports, old-age care, housekeeping and other services are very active consumption. According to the Ministry of Commerce, service consumption accounted for 49.2% of household consumption in 2017, which was 5.2 percentage points higher than that in 2012. In 2018, the proportion of service consumption reached 49.5%, which was 0.3 percentage points higher than that of the previous year. This also explains why the growth rate of total retail sales of consumer goods in China declined in 2018. Internationally, the proportion of service consumption in the United States reached 68.9% in 2018, followed by 59.4% in Japan, 58% in Britain, 54% in France and 52% in Germany. China accounts for 49.5%, which is close to Germany and other continental European countries. 

3. Upgrading of production and consumption: scientificalization and digitalization of production inputs 

In 2018, the expenditure on R& D increased by 11.6% over the previous year, and by 2.18% over GDP, which increased by 0.03 percentage points over the previous year. At the same time, data become new factors of production to be consumed. In the era of digital economy, the role of data in economic activities is becoming more and more important. It can not only help people better organize and plan production and operation, effectively judge and predict, but also become a direct input factor in artificial intelligent manufacturing. In many fields of production and operation, it has been used as a new factor of production. As early as October 9, 2016, the Politburo of the CPC Central Committee has conducted collective learning on the implementation of the strategy of network power. On December 8, 2017, the Political Bureau of the Central Committee conducted a collective study on "Implementing the National Big Data Strategy", putting forward the idea of "building a digital economy with data as the key factor", and clarifying that data is a factor of production. The amount of data generated and stored worldwide has increased dramatically, and is expected to reach 44 trillion GB by 2020. China will generate nearly 20% of the total global data. By 2017, the United States had 44% of the world's large data centers, and China's number of large data centers was second only to the United States. In the next few years, with the completion of a number of innovation platforms in the field of large data, 13 national large data laboratories will have their own achievements in different fields, providing support and services for related technology innovation in the field of large data.

4. Digital economy has become a new industry and opened up a new field of network market

At present, applications based on new technologies such as Internet, Internet of Things, big data and cloud computing are increasingly entering social production and exchange, resulting in digital media, electronic commerce, electronic financial services, and many new products and new lines. Industry, new format, the Internet is changing the production and lifestyle of human beings. According to the World Internet Report 2017, 22% of global GDP is closely related to the digital economy. In 2016, China's digital economy reached 22.58 trillion yuan, ranking second in the world, accounting for 30.3% of China's GDP. According to the World Internet Report 2018, by 2018, the number of Internet users worldwide had reached 3.6 billion, more than half of the global population. The number of mobile Internet users in China was 753 million, which increased by 8% in 2017 compared with the previous year, and the use of mobile data increased by 162% compared with the previous year. In the Chinese market, online entertainment (long and short video and mobile games), new retail, mobile payment and other aspects have made further development, and China is becoming the center of the global Internet giant. The opening up of new fields of digital economy and network market poses new challenges to modern economics and statistics. The concept of total retail sales of social consumer goods provided in short-term economic operation statistics can no longer reflect the overall situation of residents'consumption; the factors of data input have not yet entered PPI price index statistics; and the formation of fixed capital. Or the concept of fixed assets investment can no longer accommodate the investment of production investment and production tools in the field of network; the amount of direct exchange value and consumption value of network market can not enter the current statistical system; the concept of "gross domestic product" in modern economics can no longer accommodate and cover the whole society in the new era. The creation of economic activities and total social output.