An Analysis Of Inter-industry Of Income Inequality And Income Mobility In China

With the rapid development of economy, the standard of living rise ceaselessly in China. At the same time, inhabitant's income gap has also been growing unceasingly,and the income gap between industries increasingly cause attention of people too. The study of disparity in income between industries has gradually become one of the hottest theory that the scholars has been researching on . Some scholars think that the income disparity caused by the industrial factor itself embodies the unfairness. But at present, the research of quantitative analysis into inequality in this area is also relatively rare.By using the relevant data and dynamic analysis method, the inequality in income between industries was studied. Firstly, this paper analyzed income gap between industries in our country. Through the existing research results, it summarized three aspects of the income gap between industries: the gap between monopoly industries and other industries; the gap between emerging industries and traditional industries; the gap between knowledge-intensive industries and labor-intensive industries. Among them, the second and the third points are mainly caused by some factors such as human capital and education. This kind of income gap could not embody inequality at all. Therefore, this paper mainly analyzed inequality in income between industries, which was caused by monopoly industries. This article comprehensively used several analysis methods such as Gini coefficient,Theil index,and Transition Matrix,etc.Through the analysis of Gini coefficient and Theil index, we can see changing trend of overall inequality in income, and find out the dominant factors causing inequality. By using the dynamic analysis method of Transition Matrix, this paper acquires the change in workers'average income of each industry in our country. Thus it fully reflects inequality in income between industries in China, and provides support for qualitative analysis.