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Newborns, Intra-household Distribution of Income and the Consumption of Cultural Services——Empirical Research Based on Direct and Proportional Tax |
YU Zhong jiang |
Zhengzhou Institute of Aeronautical Industry Management |
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Abstract This paper analyzes the effect of newborns on regional consumption of cultural services with 30 provincial units’ panel data during 2003-2010. And the result from econometrical model is: the number of newborns has significantly negative influence on the consumption of cultural services if income, government’s cultural expenditures, population quality, burdens of elders and social security expenditures are controlled. It shows that the more the newborns, the less the region’s cultural service consumption. The explanation of this phenomenon is that newborns are similar with directly proportional tax for a family, which brings about intra-household redistribution of income to reduce the consumption of the more elastic items. Because cultural services are such items, so they are the first to be reduced. This finding implies that, if we want to develop the industry of cultural services, measures outside cultural industry must be taken seriously. As for this paper, it means reducing the b
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Received: 17 February 2012
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Corresponding Authors:
YU Zhong jiang
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