Chinese have been working and playing harder since economic reform began 30 years ago.

They have been spending more of their rapidly increasing disposable income on entertainment, travel and, inspired by the Beijing Olympics, sport.

The proportion of household expenditure on food and other necessities has fallen sharply, according to the Engel coefficient index compiled by the National Bureau of Statistics.

In urban areas, expenditure dropped to 35.8 percent in 2006 from 57.5 percent in 1979. But in rural areas the decline was more moderate - from 67.7 to 43 percent.

Urban households spend an average 14 percent, or 1,200 yuan ($176), of their total disposable income on entertainment, according to the statistics bureau.

That amount is substantially higher for Beijing and Shanghai, where average spending on entertainment and travel amounts to about 2,500 yuan a year. In 1979, that would have been equivalent to the average worker's salary for a decade.

The Olympic Games has also affected Chinese spending habits, stirring up a new interest in sports. More people have been inspired to exercise and take part in sports such as swimming, sailing, badminton, tennis and golf. Many neighborhood health clubs are reporting a post-Olympics surge in new memberships.

Travel is also on the agenda for more affluent Chinese families, who are choosing to spend their holidays overseas as restrictions are eased.

Outbound tourist numbers jumped to nearly 41 million in 2007 from about 12 million in 2001.

Domestic travel is also booming, with tourist numbers up from 784 million in 2001 to 1.39 billion in 2006. That growth is expected to continue or even speed up with added impetus from events such as the Olympic Games and the 2010 World Expo in Shanghai.

China will be Asia's largest consumer market by 2009, according to Minister of Commerce Chen Deming.

He told the recent trade and investment fair in Xiamen that entertainment, tourism and housing will be the key industries driving spending growth.

He also said that by 2015, the country could be the world's fourth largest source of tourists bound for overseas destinations.

(China Daily October 10, 2008)