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Family Finances in Urban China: Evidence from a National Survey

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Abstract

This paper presents an overview of consumer financial well-being in transitional China. It provides an up-to-date and overall description of the Chinese urban households’ assets, liabilities, income, and consumption patterns. The data employed were collected by a national survey conducted in 2008. Results show that residential properties were the most important asset for the majority of households. A very small percentage of households had any kind of debt, which indicates that the credit market in China is currently underdeveloped and Chinese households may be reluctant to finance current consumption against their future income. Households spent only about half of their after-tax income. Future research is needed to help Chinese households better understand their finances and improve their financial well-being.

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Authors and Affiliations

  1. Tsinghua University, 258E Weilun Building, SEM, Beijing, 100084, China

    Li Liao

  2. Tsinghua University, 109 Weilun Building, SEM, Beijing, 100084, China

    Nuonan Huang

  3. University of Missouri, 239B Stanley Hall, Columbia, MO, 65211, USA

    Rui Yao

Authors
  1. Li Liao
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  2. Nuonan Huang
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  3. Rui Yao
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Correspondence to Nuonan Huang.

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Liao, L., Huang, N. & Yao, R. Family Finances in Urban China: Evidence from a National Survey. J Fam Econ Iss 31, 259–279 (2010). https://doi.org/10.1007/s10834-010-9218-z

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  • DOI: https://doi.org/10.1007/s10834-010-9218-z

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