"Platform Transformation": The Effection Of Urbanization On The Gap Between Rich And Poor During The Period Of Social Transformation In China

This thesis is a research about the effect of urbanization on the gap between richand poor during the period of social transformation in China. Due to the limited effectof measures of controlling the gap between rich and poor, we can get the conclusionthat urbanization is the main process to narrow the gap between rich and poor andaccelerate the differentiation of peasants from the view angle of class differentiation.Currently, the widening gap between rich and poor and the prominent stratumcontradictions have caused the attention of the ruling party and the public. However,Chinese gap is the result of interaction of natural factors, historical factors, politicalfactors and institutional factors. Meanwhile, China is facing a complex basic nationalcondition, such as a large population, vast area and complex location. It is difficult tocontrol the gap between rich and poor attributed to the above factors. Based on thecharacters that the gap between rich and poor is long-term and phasic and the effectsof controlling measures are limited, the way how to control the gap should bechanged.As the only way of realizing industrialization and modernization, urbanization isthe main content of "three-step development strategy", which is designed by centralgovernment. At the context of speeding up the process of urbanization and throughthe analysis of the motive mechanism that urbanization affects the gap between richand poor, we can get the conclusion from the view angle of class differentiation thaturbanization is beneficial to the optimal allocation of resources and forming a rationalpattern of income distribution. Urbanization has become the third forces to drive thesocial stratification forward after the market-oriented reform and industrial revolution.The advance of urbanization not only means the changing of human production andlifestyle from rural to urban, but also means reduced proportion of rural population,migration of labor from primary industry to secondary and tertiary industries. Theoryand practice show that a reasonable structure of income distribution seems like adiamond. Facts proved that in a country with a low level of urbanization, the structureof community members and income distribution assumes the shape of a pyramid,whose great base is constituted by the class of agricultural laborers and blue-collar workers. Therefore, accelerating the urbanization process and raising the level ofurbanization is the important force of collapsing the pyramid base and expanding themiddle class of society, and important driver of cultivating the reasonable structure ofsocial class and income distribution. At the beginning of21st century, the peasantrywill further differentiate. Speeding up the process of urbanization will expedite thediversity differentiation of peasants and consolidate the integrated process of theworking class.Urbanization，as the comprehensive policies which can balance efficiency andequity and the important driving forces which can promote peasants’ diversification,is benefit to not only cultivating the structure of reasonable social class and incomedistribution, but also shortening the disparity in urban and rural areas, which is thebiggest problem in the gap between rich and poor. Most scholars ’ research show thatthe disparity in urban and rural areas is the main factor of the gap between rich andpoor. Shortening the urban and rural disparities can reduce the level of inequality ofthe country residents’ income, which is significance for narrowing the gap betweenrich and poor. It is well known that agriculture is weak relative to the second and thethird industries. With economic development, the rate of GDP in the field ofagriculture is declining in the whole national economy. Labor migration from villageto city and town can shorten the urban and rural disparities. On the one hand, themigration can reduce the proportion of agricultural laborers’ class and lay thefoundation for agricultural scale management. On the other hand, the conversion fromthe peasant class to the working class can shorten internal disparities in rural areasand expand the internal disparities in urban areas, which can narrow the countryresidents’ income gap. That is to say, the conversion of the gap between urban andrural areas from dualistic platform to the unified platform can control the national gapbetween rich and poor effectively.According to the analysis of inner relationship among urbanization, classdifferentiation and the gap between rich and poor, the thesis gives a propositionnamed ‘Platform Transformation’. At the background of the widening gap betweenrich and poor during the period of social transformation, this proposition points thatshortening the gap between urban and rural areas is the key to narrow the gap between rich and poor. Through driving peasants’ differentiation further and inducingthem migrate from the low-income class to the high-income class, urbanization cantransfer the gap from urban and rural segmentation of ‘dualistic platform’ to urbanand rural fusion of ‘unified platform’, which means the gap between rich and poornarrowing gradually. That is to say, urbanization can make China’s economic andsocial development change from urban and rural segmentation to urban and ruralfusion, and can effectively control wealth gaps through transferring the gap from‘dualistic platform’ to ‘unified platform’, whose mechanism includes the adjustmentof industrial structure–the migration of laborers–the employment structure’schanging–the professional structure’s changing--class differentiation–the classstructure’s changing–the olive type structure’s forming.This thesis compares the processes of Japan, the United States and Brazil thaturbanization affects the wealth gap. Through researching these typical country’sinternational experiences, we can get beneficial revelations for PlatformTransformation. Based on the above experiences, urbanization is not the necessaryand sufficient condition of Platform Transformation accomplishment which also beaffected by restriction from facilitating and obstructive factors. On the one hand,determine the status of the urbanization strategy, continues to promote the relevantreform, and a long time consideration of methods, which provide the opportunity ofPlatform Transformation implementation. On the other hand, urbanization levellagging, social mobility mechanism is not smooth, and restricting resistance ofpeasants’ differentiation has not been fully digestions, which provide obstacles ofPlatform Transformation.Based on the Systematic analysis of Platform Transformation, we can get thebasic approaches to the implementation it from two sides: on the one hand, raisingawareness of status of urbanization strategy, promoting the reform of incomedistribution system, increasing the importance level of "three agriculture" problems.On the other hand, raising the level of urbanization, adjust the relationship betweenurban and rural areas, accelerating and promoting their differentiation. In details,firstly, it should raise the level of urbanization and make full use of the pull force ofcity. We should speed up the process of urbanization, improve the quality of urbanization, and pay attention to "give priority to growth of large cities" law.Secondly, we must strive to adjust the relationship between urban and rural areas andremove institutional barriers. In order to smooth the social mobility, we should reformthe household registration system thoroughly, improve the land system, strengthen thesocial security system, and reform the employment system. Thirdly, we shouldaccelerate the peasants’ differentiation and make full use of the push force of village.To be specific, we should vigorously develop modern agriculture, improve themechanism of peasants’ expression of interest, strengthen the identification onpeasant workers among urban residents and overcome small peasants’ culture, and soon.