"If you have money today, spend it today and worry about tomorrow's matters tomorrow?" Most Chinese people (79.03%) do not agree with this statement, but compared with two years ago, the preference for delayed consumption has declined slightly. Recently, the "2019 Consumer Financial Literacy Survey Brief Report" released by the central bank has attracted social attention. Another set of data is also attracting attention: last year, the per capita number of credit cards and debit cards in China increased by nearly 20%; in the first quarter of this year, the total outstanding credit card credit card overdue for six months reached 79.743 billion yuan, nearly 10 times that of nine years ago.

Some people believe that the decline in preference for delayed consumption and the surge in outstanding credit card credit mean that Chinese people no longer like to save money and prefer to spend money.

Experts say this summary should not be made simply. Compared with other countries, China's savings rate is still among the highest. The change in people's saving attitude shows that China's domestic demand-oriented economic system is gradually being established. However, some people, especially young people, should transform from credit card "slaves" to "card owners", avoid excessive consumption, and establish correct values ​​and consumption concepts.

Policy guarantees are sufficient, and young people have a good attitude, so they naturally dare to "buy, buy, buy"

"I don't save money when I have no income, and I don't deliberately save money after I have income." 24-year-old Lou Yun has been working for two years, and she puts her salary into Alipay every month. After paying off the money that was due last month, she will use the remaining money to buy regular financial management or fixed fund investments. In her view, if you want to make more money, you can only earn more, not save more.

Nowadays, more and more people hold similar views to Lou Yun. The "2019 Consumer Financial Literacy Survey Brief Report" recently released by the People's Bank of China shows that when asked about their attitudes towards consumption and savings, although the majority of people (79.03%) "slightly agree" or "completely disagree" with "spent the money today, tomorrow's things will be discussed tomorrow", compared with 2017?, consumers' preference for delayed consumption has declined slightly, and the overall proportion of people who choose "do not agree" or "completely disagree" has decreased by 0.37 percentage points.

Delaying consumption means storing some of your belongings and then arranging consumption at multiple points in the future. The decline in preference for delayed consumption means that some people no longer save money but spend it immediately. Relevant statistics also show that China’s household savings rate reached 37.3% at its peak (in 2008), but has declined in recent years.

What do you think of this phenomenon? Yang Jun, a professor at the Department of Trade at the School of International Business and Economics at the University of International Business and Economics, analyzed that generally speaking, there are two main reasons for delayed consumption: one is to cope with future expenditures and various uncertainties, and the other is to obtain higher financial returns. At present, China's new generation of consumers has gradually become the main body of the labor market, placing more emphasis on the individual's current quality of life. At the same time, with the improvement of living standards and the improvement of the social security system, the dividends of tax reduction and fee reduction policies continue to be released. Uncertainties in future employment, education, health care, etc. are reduced, and people's overall consumption ability is improved. In addition, the rapid development of modern finance has made it easier for individuals and families to obtain short-term, medium- and long-term funds to deal with various urgent expenses, and the cost has dropped significantly.

SimpleFor example, today's consumers, especially the younger generation, have a good attitude and are very confident, so they naturally dare to "buy, buy, buy." Data show that in the first half of this year, China's total retail sales of consumer goods reached 19.5 trillion yuan, a year-on-year increase of 8.4%. Among them, young people are becoming the main force of consumption. The "2018 China Pension Prospects Survey Report" released by Ant Financial and Fidelity International shows that the average monthly savings of young people aged 18-34 is 1,339 yuan.

Liu Ye, who studies at a university in Beijing, has been saving money since elementary school and also likes to spend money. She said that on the one hand, saving money is for emergencies, and on the other hand, it is to satisfy some small wishes, such as buying something to reward yourself that you are usually reluctant to buy. However, when purchasing some high-priced products, even if she has the ability to pay directly, she will choose to use Internet consumer credit products for installment payment, which is becoming fashionable among young people. "Consumption is easy to be impulsive, so you have to control yourself." Liu Ye set a consumption red line for this - no more than 4,000 yuan per month, because "owing too much money will cause pressure."

"The 'post-95s' and 'post-00s' grew up in the era of affluence and the mobile Internet. When they gradually become the main consumers, it is logical to delay the decline in consumption preferences." Wang Jun, a member of the Academic Committee of the China Center for International Economic Exchanges, said that as more children grow up, this phenomenon will further increase in the future.

It should be pointed out that the years of rising housing prices, the improvement of residents' living conditions, and the increase in rigid expenditures such as pensions and medical care are also important reasons for the decline in delayed consumption preferences and the decline in residents' savings rates in recent years. Wang Jun believes that the declining preference for delayed consumption and the lowering of the savings rate are two sides of the same coin, because the pursuit of a better life will inevitably lead to an increase in immediate consumption power and a decrease in the savings rate.

He also pointed out that whether compared with developed or developing countries, China's household savings rate continues to be at the forefront of the world and has not fallen off a cliff. Of course, since China still lags behind developed countries in terms of the soundness of China's social security system, financial market perfection, and residents' income levels. In particular, it will take a long time for residents' consumption habits to change. It is still necessary to be prepared for risk prevention and related policy adjustments.

Zhou Xiaochuan, former governor of the People's Bank of China, believes that the decline in the savings rate has certain benefits, indicating that domestic demand is increasing, but it is also necessary to pay attention to changes in the savings rate between generations. In the context of the development of financial technology, consumer credit is developing rapidly, which will induce the younger generation to consume in advance and borrow money for consumption. "This is not only an economic and financial phenomenon, but also a cultural and demographic phenomenon, which may have important impacts."

Will "spending tomorrow's money to buy today's things" become a consumption trap?

Among the many forms of consumption, the phenomenon of swiping credit cards or using Internet consumer credit products such as Alipay's "Huabei" for advance consumption and borrowing is worthy of attention. This consumption pattern of “spending tomorrow’s money to buy today’s things” is very common among some young people.

Ren Huan, who is studying for a master's degree at a university in Beijing, recently finally made the decision to close an Internet consumer credit product. It turned out that under the inducement of this product, he spent a maximum of 45,000 yuan a month. He said: "It always increases my credit limit, and I use this product by default when paying. I often spend uncontrollably and spend money like water."

There are more and more credit cards and Internet consumer credit products, resulting in a significant increase in the amount of outstanding credit, pushing up financial risks. The "Overall Operation of the Payment System in the First Quarter of 2019" released by the central bank shows that as of the end of the first quarter of this year, the total outstanding credit card credit overdue for six months was 79.743 billion yuan. And in 9 yearsBefore 2010, this number was only 8.804 billion yuan. According to statistics, among the nearly 170 million post-90s generation, more than 45 million have opened Huabei. The phenomena of credit card "card slaves" and "flower slaves" began to appear.

Wang Jun believes that the rapid growth of credit card issuance by commercial banks and the rapid development of financial technology have also led to a sharp increase in the long-term joint debt and related risks of credit cards, Internet-based credit products, consumer finance loans, cash loans and other credit consumer loans, resulting in an increase in the amount of overdue credit cards. Especially under the macroeconomic background of increased economic downward pressure in recent years, the personal financial status of some credit card holders has changed significantly, while some commercial banks have excessively pursued commercial interests and failed to grasp these changes in a timely manner, resulting in more prominent related problems and risks.

The inappropriate marketing methods of some merchants are also adding fuel to the fire. Some advertisements link consumption with status, class, taste, IQ, love, family affection, etc., inducing people to consume excessively.

Normally speaking, reasonable advanced consumption will help change the traditional phenomenon of elders accumulating capital and wealth and children and grandchildren getting something for nothing. It can also effectively expand market demand and promote economic growth. However, unreasonable advanced consumption may go in the opposite direction. For individuals, it will increase economic pressure and affect mental health and life stability; for the country and society, it will induce a highly destructive hedonism and unrealistic waste culture, causing a social "credit crisis" and increasing the possibility of an economic crisis. The Great Depression of the 1930s and the "subprime mortgage crisis" of 2007-2008 in the United States are all examples of this.

So, will this advanced consumption model become a "consumption trap" in China? Many experts and interviewees believe that the key to preventing risks lies in cultivating people to develop good and healthy consumption habits.

“In the next 10 years, the total outstanding credit amount of residents in my country will increase, but it will remain within a reasonable range.” Yang Jun believes that this is because the overall knowledge level of young people is improving and their ability to obtain higher income is increasing; at the same time, the financial sector’s risk control methods will become more advanced.

In Ren Huan’s view, getting married will become the threshold for him to save money. He said that saving money after marriage is not purely for enjoyment consumption, but to consider expenses such as family illness and retirement. "This reflects the continuation of the Chinese people's traditional family-oriented culture, and behind it is a kind of cultural resilience."

Balance the relationship between savings and consumption from a full life cycle perspective

In order to accelerate the transformation of consumption into green, ten departments including the National Development and Reform Commission issued the "Guiding Opinions on Promoting Green Consumption" three years ago. The opinions propose that we should resolutely resist unhealthy tendencies such as extravagant living and the pursuit of pleasure, vigorously eliminate bad habits such as showing off ostentation and extravagance, resist excessive consumption, change the misconception of "paying for oneself, being frugal and frugal by myself", and forming a social atmosphere in which "thrift is glorious and waste is shameful". The opinions also put forward specific measures from the aspects of laws and regulations, standard systems, label certification systems, economic policies, financial support, etc.

Today, more young people have become more conscious about balancing savings and consumption. "I will decide my expenditure based on stable income." Regarding his future consumption outlook, Liu Ye answered firmly. She said that she would definitely save money after working. She would not feel safe if she did not save money, because Chinese people often say, "You will regret having little money when you have used it."

However, as financial services become more and more readily available, it is urgent to improve people's financial literacy. The "2019 Consumer Financial Literacy Survey Brief Report" released by the central bank recommends that attention be paid to low-income, low-educated, non-employed, old and young groups, etc.Financial literacy status, carry out appropriate financial education activities based on group characteristics, focus on improving consumers' financial knowledge and skills, and improve consumers' financial behavior. At the same time, we actively respond to the challenges brought by digital technology. For some consumers, digital technology has a lagging effect in promoting the improvement of financial literacy, and more financial education tools that are compatible with the digital age and demographic changes should be developed.

“The development of good financial literacy and consumption concepts needs to start from school education, starting from childhood. This should be the basic quality that every citizen should possess.” Wang Jun believes that residents should be guided to establish a sustainable consumption concept, live within their means, consume moderately, and arrange and balance the relationship between savings and consumption from a full life cycle perspective.

Yang Jun believes that for individuals, it is still necessary to advocate a thrifty consumption concept and reasonably arrange various consumption expenditures. For larger amounts of borrowing, it is necessary to balance the relationship between future income and current borrowings, and try to keep the current borrowing amount within the current discounted value of reasonable future income expectations. The government should promote the integration of financial knowledge into the national education system and improve the financial investment literacy of the people; at the same time, improve the financial supervision system, promote the improvement of the operating efficiency of the financial sector, and control social financial risks.

(At the request of the interviewee, Zhang Fei, Xu Lang, Lou Yun, Liu Ye, and Ren Huan mentioned in this article are all pseudonyms.)

Consumers said

“When you have income, you will definitely save money”

Zhang Fei, college student Female, 23 years old

I can’t save money at the moment because I have no extra income; but I won’t spend money in advance. Even if I use Alipay’s “Huabei” loan or make installment payments, I have to make sure that I can pay it back now.

When I have income in the future, I will definitely save money. I haven’t thought about how much I would save specifically, but I certainly won’t spend money lavishly. For example, if I earn 20,000 yuan a month, aside from necessary expenses, I need to save at least 10,000 yuan.

What are you saving money for? Of course it’s for buying a house, a car, or for emergencies. I think saving money is a great source of security, which means stronger risk response capabilities and more future choices. Anyway, I don't dare to be a "money earner".

“Consumption is better than saving money”

Xu Lang, one year after graduation, unemployed, male, 26 years old

I don’t make money now, and I can’t save money. If you make money in the future, you probably won’t save it at first because it probably won’t be enough to spend. But if there is any leftover after you spend it, won’t the money be saved automatically?

I think consumption is still very important. Spending for your own interests and hobbies is better than saving money. What to save money for? I didn't think about it, so I just saved it.

I usually use Alipay "Huabei". When I have no money, I can only use it to make advances. Now my parents help me repay the loan, so I haven’t thought about the issue of credit limit and repayment ability.

(Interviewed by Li Hejun)