China's Income Distribution Disparity Study

The widening of people's income gap is the hot spots of social and economic life in our country. Both our government and the theoreticians are trying their best to find solutions of this problem . This essay, on the basis of analyzing the present situation and causes of the widening of people's income gap and the effect on society, through comparative analysis , micro-analysis , macro-analysis and integration of theory and practice , tries to explore the methods to relieve the widening of people's income gap. This essay includes four parts :Part I :Through analyzing in depth the income gap between urban residents, the income gap between urban residents and rural residents, the income gap between people in different districts, the income gap between professionals and the income gap between people with high salary and people with low salary reasonable judgments are made about the present situation the widening of people's income gap .Part II: It objectively analyzes and comments the cause of the widening of people's income gap ,including market competition, the difference of initial conditions affected by history and traditional system, the government's ineffective regulating and control of the income gap, unbalanced economic growth, imperfect social security, unfair competition, illegality and corruption.Part III: It objectively analyzes and comments effects of the widening of income gap on our economic-society, such as on economic growth, industrial structure , human capital investment, and social stableness.Part IV: In view of the problems caused by the widening of people's income gap and the conditions of our country, this part comes up with some countermeasures minimize the income gap . This part mainly discusses developing economy, reinforcing ourgovernment's macro-control over income , perfecting social security system, regulating the income distribution through law, and the effect of the third force (non-profitable organizations).New ideas of this essay: This essay comes up with some new solutions to minimize the income gap .To minimize the gap, our government should play a leading role and public forces help each other . The leading role of government means reinforcing our government's macro-control over the widening of people's income gap, including the control over the beginning, the course and the end of distribution . Public forces helping each other means the regulating effect of the third force . The third force is different from market and government . It is non-profitable mutual aid enterprise.