Thanks to appropriate measures to curb droughts in 2010, the rural economy of Dehong has witnessed sound development, with incomes of peasants surging and their living standards improving.

Statistics indicate that the net per capita income of the peasants exceeded 3000 yuan, an increase of 19% year-on-year, ranking third among 16 prefectures and cities in Yunnan province. 　 The income increase of the rural residents is mainly attributable to four factors: a significant price increase on agricultural products, a rise in the main agricultural output, a growth in wages, and an increase in direct government production subsidies to the peasants.

The consumption expenditures of the rural residents has been on the rise, with consumption levels steadily increasing. The sample investigation showed that, in 2010, the per capita consumption expenditure of the rural residents reached RMB2,893, marking a rise of 18.5%.

Dehong’s consumption was characterized by 4 features:

1. The per capita food expenses of the Dehong rural residents steadily rose to RMB1,430, an increase of 17.6% compared with the last year. However, the Engel coefficient (the food consumption ratio) dropped from 49.8 last year to 49.4, which indicates that the living standard of the Dehong rural residents was further improved.

2. The residence consumption expenditure increased. In 2010, rural residents of the prefecture spent an average of RMB522.34 on housing, an increase of 16.0% from last year. And due to the effective implementation of a housing project for low-income urban residents, housing conditions were further improved.

3. Expenditures on transportation and telecommunications continued to grow by 11.3%, and vehicles for daily use were used more and more in rural families, with an average of 0.5 vehicles per 100 rural households.

4. Home appliances expenses saw a remarkable increase. The number of durable consumer goods owned by local residents rose year on year. In 2010, Dehong rural residents spent an average of RMB154.29 on home appliances, an increase of 47.9% from last year.