Research on the Impact of Digital Financial Inclusion on Residents' Consumption Level: Analysis Based on Intermediary Effect Model

Abstract

This paper selects panel data of 31 provinces and cities in China from 2011 - 2020, constructs an intermediary effect model with income gap as the intermediary variable, and studies the impact and mechanism of digital inclusive finance on residents' consumption level. It is found that digital inclusive finance can significantly promote residents' consumption level. The intermediary effect stepwise regression model shows that digital inclusive finance has a significant contribution to the income gap, which further promotes the increase of residents' consumption level. Heterogeneity analyses show that digital inclusive finance has a more significant effect on promoting the consumption level of residents in the eastern and western regions.