Study On The Dynamic Tracking And Effect Evaluation Of China’s Household Income Redistribution System Reform

Redistribution system as an important means of regulation of income distribution, in regulating excessively high incomes, guaranteeing the basic livelihood of low-income people, and promoting social equity and justice, etc., has an irreplaceable role. This paper, based on the perspective of sufficient security rights, aims to grasp the dynamic tracking and effect evaluation of China’s system reform of income redistribution, which can clearly show the ins and outs of the reform of the redistribution system, summarizing the experience and lessons, and proposing viable policy recommendations. Giving residents sufficient security rights is the basic direction of the evolution of the redistribution system, as well as the main dimensions of effect assessment of this paper.Firstly, on the basis criticism of existing Western mainstream redistribution theory, this paper proposes a theoretical framework of redistribution system reform dynamic tracking and effect assessment. Then, according to the characteristics of economic reform and redistribution of institutional change, we put the reform process of redistribution system into the planned economy period(1953-1978), the explored economy period(1979-1992), the transition economy period(1993-2002) and market economy period(2003-now) in four stages dynamic tracking. And based on the perspective of sufficient security rights, we made a theoretical interpretation. Besides, from the overall reform of the redistribution system, specific redistributive reform and international comparative three aspects, the effect of redistribution system reform in China was evaluated. Finally, based on the conclusions of this study, we proposed policy recommendations of redistribution system reform. Through the research, this paper reached the following six main conclusions:(1) Redistribution should be based on the rights of residents to carry out, so as to realize the income distribution results of fair and just. "Human beings are born free in dignity and equal rights". The reason for the redistribution of income, not because the marginal utility of low-income groups can be increased even more, but because as a member of society, which should be entitled to the most basic social security.(2)Redistribution system change is dynamic change of security rights configuration in nature. Security rights configuration is reasonable, which will directly affect the results of redistribution reform. Reform of the redistribution system achieved the change from not universal, insufficient to universal, but still not sufficient of security rights. It is the change of security rights configuration that causes redistribution system reform at different times reflecting different characteristics and effects.(3) In the calculation period, assessment results of redistribution system reform effect are as follows: ① Overall redistribution system reform produced a "reverse adjustment" effect. ② Redistribution effect on rural income gap is relatively weak, which had a "reverse adjustment" effect in most years before 2007, but generated a positive income redistribution effect in most years after 2007. ③ Redistribution significantly narrowed the income gap between urban residents inside. ④ Redistribution significantly expanded the income gap between urban and rural residents, and this "reverse adjustment" phenomenon is the main cause of the overall redistribution of a "reverse adjustment" phenomenon.(4) The reform of basic old-age insurance system for enterprise employees produced income redistribution effect: the pre-reform pension system generated the reverse effect of income transfers, all income groups were pure lifelong beneficiaries but more conducive to high-income earners; 1997 reform program had a strong intra-generational redistribution effect, in favor of income transfers to low-income groups, and the burden on the next generation to be lighter than its predecessor; 2005 reform program improved operating efficiency of the pension system to some extent, but significantly reduced the intra-generational redistribution, and may increase the pension burden on the next generation.(5) The other policy effect of new rural social pension insurance system was: the new rural social pension insurance system significantly improved the old people`s wishes of living alone and happiness, nutrition structure has been significantly improved; meanwhile, the old people’s economic independence has been enhanced, to some extent, reduced the burden of financial and caring for their children, as well as have a certain role in alleviating the psychological pressure of the elderly. However, the low level of protection of the new rural social pension insurance system to some extent affected the play of its policy.(6) The core of China’s redistributive system reform should be given residents sufficient security rights in the future.Compared with the existing literature, this paper’s possible innovation reflected in the following four aspects:(1) For the first time, this paper, based on the perspective of sufficient security rights, using a more comprehensive and systematic to dynamic tracking and effect assessment of redistributive reform on China. As far as I know, basically no literature based on the perspective of sufficient security rights to study on the reform of the redistribution system now, this study makes up this gap.(2) It is different from most of the literature only described the redistribution system reform course. In this paper, we also integrated into the theoretical explanation, thus you can grasp more deeply the causes and consequences of redistribution reform.(3) This paper not only carried out effect assessment for the overall reform of the redistribution system, but also for specific redistribution system reform; not only carried out assessment of income redistribution effect that produced by redistribution system reform, but also carried out assessment of other policy effect that produced by redistribution system reform. Such an assessment is more comprehensive and scientific, and the assessment results are more credible.(4) This paper argues that reform cannot be seen in isolation redistribution system, but should be coordinated together with the initial distribution. Through equal rights of participation to ensure a fair starting point, through shared income rights to keep fair implementation process; through sufficient security rights to maintain fair implementation results.