Influence of China’s Population Aging on Household Consumption – Based on the Data from China Family Panel Studies

Based on the China Family Panel Studies (CFPS2016) data, this study empirically tests the impact of population aging on household consumption. The results show that population aging promotes the basic living consumption expenditure of most households and inhibits the enjoyment or development consumption expenditure of most households. At the same time, low-level consumer families are more affected by population aging and income than high-level consumer families. Moreover, the impact of population aging on developmental consumption varies among families with different income levels, especially in medical and health expenditures. The higher the family income level, the smaller the impact. Finally, this study puts forward suggestions such as improving the social security mechanism, improving the level of education, releasing the consumption potential of the elderly, improving the consumption level, and promoting consumption upgrading.