The Analysis Of The Cause And Economic Growth Affect Of Chinese Income Gap Between Industries

With the increasing deepening of Reform and rapid advance in economy, the gap of income between different industries shows a trend of further expansion which attracts the attention of the society, and brings bad effect on the development of industry, ideas of selecting a career, conduct and stability of society. At present stage, among the theorists, the investigation of industry income is mainly on descriptive and qualitative analysis, and we are still devoid of quantificational research to reflect the real gaps among different industries, especially lacking the systematic positive analysis of economic growth affect and reasons of the gap. This paper is trying to do something in these parts.Firstly, due to the highest and lowest industry income, Coefficient of Variance and Theil index, the Chinese industry income change of historical trace during 1850 to 2006 is arranged; the current situation of Chinese industry income gap is analyzed by the overall circumstance, location divergence, industry and monopoly factor; the development tendency of industry income divergence due to historical data is forecasted. With the related theory, the paper investigates the positive analysis of industry income gap. The specific way is to select 7 indexes among the factors in document materials, then analyses the remarkable ones which influence the industry income in statistical sense by stepwise regression of multi-statistical analysis. At last, combining the Granger causality tests, co-integration theory and error and correction model, investigates positive analysis about the industry income gap of economic growth affect.Due to investigation, from 1985 to now, all the industry income's levels have been promoted, since the divergence of the speed and extent, the gap of income is enlarged. On the whole, the equal industry income is higher in eastern region than in western, but among all the areas, we haven't seen any obvious relation between the extent of industry income gap and the development of economic growth. When we subdivide the business due to different industry, we find the industry income gap of interior industry is dominant, and its dominant position will keep stable several years. And Theil index shows monopoly factor influence income gap of industrial branch by industry in detail a lot, in monopoly business income gap is larger than non-monopoly. If we ignore the influence of real economic environment and the change of economic policy, the industry income gap will enlarge due to the forecasting model's outcome. The further positive analysis points out that human capital, industry monopoly extent, divergence of industry labor productivity are the main factors which make the difference of industry income and influence the industry income actively. Due to the The Econometric Model, in the short term, widening of industry income gap does not show any obvious effect on promoting the economic growth. At the same time, economic growth seems widen the industry income gap, but because of the rigidity of wage, the indication of widening industry income gap isn't obvious. In the long term, there is a same change trend between industry income gap and economic growth.