Since the Reform and Opening up, China's economy has maintained a high annual growth rate of 9.72%, which is called 'China's miracle'. At the same time, the stability of economic growth has been gradually improved. According to Lin Jianhao and Wang Jinmei (2013), China's economy has entered a period of 'chaotic cycle', alternating from high fluctuation to low fluctuation since 1996, and has entered a stage of 'great stability' characterized by slight fluctuation. However, contrary to the high economic growth and improved stability, consumption, which is the most important measure of the national economic welfare and the power of stable economic growth, has declined year by year, and the final consumption rate has declined from 62.1% in 1978 to 53.6% in 2016. Does this economic reality mean that the role of consumption in China's long-term economic growth is declining? Is there an optimal consumption-rate, under which the economy can achieve long-term stable growth? What is the optimal consumption-rate in China? Is the optimal consumption rate-more conducive to long-term stable economic growth? What is the mechanism of optimal consumption-rate on economic growth? These are important theoretical and practical questions to be answered in order to keep a stable economic growth in China.
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