China’s Current Income Distribution Status and Countermeasures Analysis

WEI Zhong

Professor and Director of the Research Department under the Institute of Economics, Chinese Academy of Social Sciences (CASS)

Abstract:

From two perspectives, – the proportion of residential income and the equality of residential income distribution – this paper identifies a widening gap in China’s income distribution and considers that this is a result of different factors such as technological progress, increasing return on assets, the economic growth priority strategy of local governments, the increasing number of migrant workers who are in a weak position to negotiate wages, as well as the rapid process of industrialization. Based on the above analysis, this paper presents policy recommendations on how to improve the income distribution system.

Key Words:

income distribution, income gap, residential income, Gini coefficient

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