A Study on the Relationship between Domestic Tourism Consumption and Incomes of Rural Residents in China

Tourism is internationally recognized as a sunrise industry and smokeless industry with huge development potential. At present, the tourism industry has become a new point of economic growth in China. After 1994, the disposable incomes of Chinese farmers increased. As a result, more and more farmers start to travel. Simple regression model analyses from the author shows that a long-term positive correlation exists between the disposable incomes of farmers and farmers' tourism consumption expenditure. The state space model indicated that the marginal propensity of tourism consumption of farmer was different in different period.