Title: Factor Analysis on the Income Gap between Urban and Rural Residents in China
Abstract:The income gap between urban and rural residents in China becomes much wider since reform and opening.The excessive rural-urban income gap becomes a major bottleneck in economic development,affecting ...The income gap between urban and rural residents in China becomes much wider since reform and opening.The excessive rural-urban income gap becomes a major bottleneck in economic development,affecting social justice and stability.Therefore,it is necessary to analyze the factors that affect the rural-urban income gap,and to put forward some corresponding proposals to narrow this gap based on the results of the study.It's important for building a harmonious socialist society.This paper views dual structure coefficient,dependence on foreign trade,and growth rate of annual per capita disposable income of urban households as variables which affect the changes of rural-urban income gap.We get expressions reflecting the long-run equilibrium and short-term fluctuations between them through the establishment of cointegration regression and error correction model.The empirical results show that growth rate of annual per capita disposable income of urban households is a major factor affecting the changes of rural-urban income gap.Read More
Publication Year: 2011
Publication Date: 2011-01-01
Language: en
Type: article
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