Research On The Problem Of Income Gap Among Inter-industries In Economic Development In China

Since the reform and opening up, the income gap among inter-industries continues to expand, the highest average wage of financial industry is4.48times the lowest average of agriculture, forestry, animal husbandry and fishery indnstry in2011, the gap will be more amazing if including the corresponding income off wage and the difference of welfare benefit of Employed Persons. This income gap among different industries is contrary to the goal of construction of harmonious society of socialism and has drawn the high attentions from all walks of life. At the same time it becomes the hot research topic of scholars. Based on this reality, this paper carries on systematic and comprehensive study on the evolution trend, value judgment, formation mechanism of the income gap among inter-industries and its effect on the different aspects of the economy.This paper consists of8chapters. Chapter1is introduction, which introduces the research background, the meaning of such thesis, the research methods, the main innovation and the insufficiency. Chapter2is the overview of relevant domestic and abroad research. It is the theoretical basis of the whole research. In this chapter, first reviews the theories of the abroad research about income gap among inter-industries, and introduces the related research conclusions in China. Chapter3studies the evolution trend and multidimensional characteristics of income gap among different industries by using various statistical methods and econometric models. Chapter4analyzes the evolution trend and characteristics of inter-industries income bi-polarization. Chapter5carries on the value judgment on income gap, first establishes a fuzzy evaluation model about reasonable income gap among inter-industries, then make value judgement on different industries income by using this model. Chapter6discusses the forming mechanism of the Income disparities among different industries from both of the theory explanations and empirical tests. Chapter7discusses the influence of the income disparities among different industries on economic growth, industrial structure, employment, financial development and crime by using different econometric methods. Chapter8makes the conclusion, first summarizes the conclusions of this paper, and puts forward some policy suggestions for narrowing the income gap among inter-industries, finally points out the further research prospect.The main conclusions are as follows:First of all, by calculating income gap evaluation indicators, finds out that the main stream of income gap among inter-industries continues to expand after the reform and opening up. Then analyzes the multidimensional characteristics of income gap among different industries:the low income industry is relatively stable, high income industry transfers to capital, technology intensive industry. The regional differences exist in income gap among inter-industries. The income gap within industry categories is big. The industry differences exist in income gap among inter-industries. The income disparity differences exist between monopoly industries and competitive industries. The income gap has the regional convergence and regional synchronicity of whole country, the east and west region of China.Secondly, puts forward the concept of industry income bi-polarization, and calculates the evolution trend of industry income bi-polarization by using the related evaluation indicators, then no significant difference is found between the industry income bi-polarization and industry income inequality.Thirdly, this paper establishes a fuzzy evaluation model about reasonable income level of different industries, and finds out that the average wage of China’s monopoly industries and capital-intensive industries is higher than the reasonable level, the labor-intensive industries is lower than the reasonable level.Fourthly, makes theoretical interpretation on the forming reason of income gap among inter-industries from different aspects such as industries monopoly, human capital differences, market mechanism, and industrial structure adjustment and so on. Then establishes a fixed effect panel model and shows that industry monopoly level, human capital level and labor productivity level have significant impact on income gap among different industries.Fifthly, discusses the relationship between income gap among inter-industries and economic growth and analyzes the effect of income gap among inter-industries on industrial structure, employment, financial development and crime by using different econometric methods. The result shows that there is the "inverted U" relationship between the income gap among inter-industries and per capita gdp in the whole country, the eastern, central and western regions. There is the reverse "inverted U" relationship between the per capita gdp and income gap among inter-industries in whole country, the eastern, central and western regions. There is the mutual influence between the income gap among inter-industries and the industrial structure. The effect of industrial structure level on income gap among inter-industries is negative in short term, but positive in middle term and total. The effect of unemployment rate on income gap among inter-industries is positive in short term, but positive in middle term, and is positive in total. Financial development is the granger cause of the income gap among inter-industries, the effect of financial development in China on the income gap among different industries is positive. The effect of income gap among inter-industries on crime is positive.