关键词: 政府消费, 经济增长, 面板数据模型

Abstract: According to panel data of 31 provinces in China from 1985 to 2007, we test the relation of government consumption and economic growth. Using models with variable intercepts and with variable coefficients, which involve the regional GDP, government consumption, investment and employment data, we conclude that in the range of the whole country the coefficient of government consumption is 4.656; and on the province level, all coefficient of regional government consumption is positive, but it’s significant difference between the coefficients. So the public expenditure should change from the government investment to the government consumption, and adjust the internal structural, the urban and rural areas structural and the district structural of government consumption.. 
 

Key words: Government Consumption, Economic Growth, Panel Data Model