• ISSN: 2301-3567 (Print), 2972-3981 (Online)
    • Abbreviated Title: J. Econ. Bus. Manag.
    • Frequency: Quarterly
    • DOI: 10.18178/JOEBM
    • Editor-in-Chief: Prof. Eunjin Hwang
    • Executive Editor: Ms. Fiona Chu
    • Abstracting/ Indexing:  CNKIGoogle ScholarCrossref
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JOEBM 2026 Vol.14(3): 229-231
DOI: 10.18178/joebm.2026.14.3.945

How Differences in Residents’ Spending Preferences Lead to Structural Imbalance in Domestic Demand: A Look at the Transmission Channels

Mengzhen Yu
Mengzhen Yu
Xi’an gaoxin No.1 high school, Xi’an, China
Email: 3500499357@qq.com

Manuscript received June 23, 2026; accepted August 20, 2026; published September 9, 2026.

Abstract—Data from China’s State Council show that domestic economic circulation has been hitting quite a few real structural snags lately. Simply put, people don’t show a steady desire to spend, and the overall household consumption rate still lags 10 to 30 percentage points behind developed countries. On top of that, investment efficiency is insufficient with a sustained downturn in private investment, accompanied by severe supply-demand structural mismatch. These bottlenecks substantially restrict the full expansion of domestic consumption potential. Against this backdrop, this paper looks at how the fact that different groups of residents prefer different things to buy messes with the domestic demand structure, and traces the specific pathways through which that happens. Adopting a literature research approach, this paper first systematically elaborates on inter-group consumption disparities and prevailing structural defects in domestic demand, and further clarifies the formation mechanism of market fragmentation and supply-demand mismatch induced by differentiated household spending behaviors. The results show that consumption gaps caused by income differences, generation gaps, regional gaps, and the urban-rural gap all gang up through multiple transmission channels to make the domestic demand imbalance worse. In the end, this paper puts forward some practical, targeted suggestions for improving the domestic demand structure and helping the domestic cycle grow in a more steady way. Keywords—spending preference differences, structural imbalance of domestic demand, transmission channels, supply-demand mismatch, consumption layering

Cite: Mengzhen Yu, "How Differences in Residents’ Spending Preferences Lead to Structural Imbalance in Domestic Demand: A Look at the Transmission Channels," Journal of Economics, Business and Management, vol. 14, no. 3, pp. 229-231, 2026.

Copyright © 2026 by the authors. This is an open access article distributed under the Creative Commons Attribution License which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited (CC BY 4.0).

 

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