Recently, many families and individuals have found that the deposits in their bank accounts are gradually decreasing, and their savings have fallen off a cliff. This is in stark contrast to the steady growth of savings in the past.
The reason for this is not only the impact of the macroeconomic situation and policies, but also related to the changes in the consumption awareness and consumption power of individuals and families at the micro level.
In these unpredictable times, our money is going to **?What are the sociological and economic implications behind the decline in household savings?This is a topic that deserves to be in-depth.
The impact of global economic fluctuationsIn recent years, the global economic situation has continued to be turbulent, the Sino-US disputes have occurred one after another, and the impact of the new crown epidemic has been repeated, all of which have made the income fluctuations of enterprises and residents increase, and the pressure on life has increased.
According to statistics, in the first half of 2022, the per capita disposable income of Chinese residents increased by 28%, which is lower than the consumption of **month-on-month**29% speed.
This means that the purchasing power of real incomes is declining. As a result, many families have had to cut back on their savings or withdraw their savings early to cope with living expenses.
China's society is aging at an accelerated pace, and it is expected that by 2035, the elderly population aged 60 and above will account for about 30% of the total population. The large amount of pension spending has forced the elderly to reduce their savings or withdraw early to pay for medical expenses and other expenses.
At the same time, the liberalization of the two-child policy has also led to the need for many families to increase spending on education, medical care and other aspects, directly squeezing out the savings space.
With the gradual increase in income level, many young people's consumption concepts have changed, and they pay more attention to quality of life and experiential consumption.
They have more income to spend on tourism, catering, entertainment, etc. At the same time, the proliferation of credit cards and online loans has also made it possible to "spend first and repay later", which has virtually reduced the accumulation of savings.
From traditional shopping to online shopping, the rapid development of smartphones and mobile Internet has made shopping more convenient than ever. Consumers can browse, evaluate and purchase goods anytime and anywhere.
This convenience and immediacy greatly stimulates the impulse to spend. Many non-essential expenses have also been taken advantage of. This is also an important reason for the slowdown in savings.
The popularity of credit cards and online loans has undoubtedly stimulated consumption, but it has also caused many families to fall into a credit crisis. Data show that the balance of personal credit loans in China increased from 193 trillion yuan increased to 28 trillion yuan in 2021, an increase of nearly 50% in five years.
At a time when financial institutions are tightening risk policies, many households are under pressure to repay their loans and are forced to reduce their savings or withdraw deposits to fill the cash flow gap.
Financial institutions should strengthen risk management, and regulatory authorities should guide financial institutions to strengthen the compliance management of the whole process of consumer credit business, improve the credit rating system, and prudently approve and issue credit cards and personal loans.
It is necessary to strengthen the dissemination of financial knowledge, raise the public's awareness of risks, and provide assistance to customers who are in difficulty in repaying loans in installments and extending their loans.
Individuals should reasonably plan their household income and expendituresIndividuals and families should establish scientific and reasonable family income and expenditure plans, distinguish between essential and non-essential consumption, and avoid excessive consumption and the surge in savings. At the same time, it is necessary to improve financial knowledge, rationally choose investment and financial management tools, and seize the opportunity to increase or decrease**.
It is also necessary to guard against all kinds of financial fraud and protect the safety of your assets. V. ConclusionThe deceleration of household savings is a complex social and economic change, which indicates that the structure of income, consumption, and investment is undergoing profound adjustments.
This is both a product of economic development and an unprecedented challenge. In the face of this changing trend, individuals, families, financial institutions, and regulatory authorities should have a clear understanding, change their concepts, improve measures, and jointly build a more balanced and sustainable economic development environment.