A Study On The Current Situation,Forming Cause And Countermeasures Of Chinese Urban Low-income Stratum

As we can see, "Reforming and Open-up" policy has brought great economic prosperity to China, while changed the conditions of income distribution of Chinese urban residents, in which the most striking and controversial issue is the forming and continuous expanding of urban low-income stratum. Based on the substantial analyses, this paper argues that the urban low-income issue in nowadays' China is the objective reaction and inevitable outcome from the macro-aspects, but closely relative to income distribution policy and the labour-employmental issues from the micro-ones. As far as the nature is concerned, it belongs to the low-income issues of "economy in transition". So the fundamental measures is to create more employmental opportunity through economic growth, to promote the governmental ability of redistribution, and to improve the capability of the urban low-income stratum to participate in the production of value and share the fruits of economic development through investment in human capital, which all is based on the implementing the principle of "equity from the starting points".On this premise, this paper analyses it in a logical and systematic method. Chapter one is the theoretical base of the paper. In this chapter, we firstly summarize the previous studying, then define the scope, method of this paper and explain relative issues. In chapter two, it gives a brief account of the present situation of Chinese urban low-income stratum from concept (including quantity and composition), characters and analyses of negative effects. Chapter three discusses the reasons of the forming of Chinese urban low-income stratum from four aspects (human capital, economic development, economic reform and economic policy), and analyses it from the angle of economics, which shows that the essential reason is the macro-developmental strategy and micro-employmental policy. By nature, the issue has been brought out by "economy in transition". Chapter four gives the countermeasures. It demonstrates the basic function of economic growth at first, and then points out the applicable tactics from employment, human capital and income distribution.