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Abstract
Investment, consumption and exports are regarded as the 'three carriages' to enhance the economic growth in which consumption is of great importance. The influencing factors of consuming were analysed with the applications of EVIEWS6.0 and panel data model. In the analysis, the level of consumption was treated as the dependent variable and per capita income and the price level as independent variables. The data such as the per capita income, the level of consumption and the price level were extracted from the Chinese Statistical Yearbook published by Chinese National Statistical Bureau. After the analysis, the results were compared among the eastern, central and western part of China. Finally, the corresponding policies to improve the level of consumption were brought up. Key words: panel data model; residents' consumption; average income; price index
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