01753cas a2200253 a 4500 AALejournalIMF006239 230101c9999 xx r poo 0 0eng d 5.00 USD 9781451962130 1018-5941 BD-DhAAL BD-DhAAL Barnett, Steven. China : Does Government Health and Education Spending Boost Consumption? / Steven Barnett, Ray Brooks. Washington, D.C. : International Monetary Fund, 2010. 1 online resource (14 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students Consumption in China is unusually low and has continued to decline as a share of GDP over the past decade. A key policy question is how to reverse this trend, and rebalance growth away from reliance on exports and investment and toward consumption. This paper investigates whether the sizable increase in government social spending in recent years lowered precautionary saving and increased consumption. The main findings are that spending on health, but not education, had an impact on household behavior. The impact, moreover, is large. A one yuan increase in government health spending is associated with a two yuan increase in urban household consumption. Mode of access: Internet Brooks, Ray. IMF Working Papers; Working Paper ; No. 2010/016 Full text available on IMF http://elibrary.imf.org/view/journals/001/2010/016/001.2010.issue-016-en.xml IMF e-Library