The Urban-rural Income Gap In The Dual Perspective Of Human Capital And Social Capital Research

Since the Reform and Opening up policy in the year of 1978, with the rapid development of China's economy, the level of urban and rural residents'income rises continually, however, the income gap is widening, which to some extent, it brings all sorts of social problems which have seriously hurt the social market economy's fair and harmonious development. In order to solve this problem, many experts and scholars from their respective areas of academic research, analyze the reasons for urban-rural income gap from different perspectives, and give many valuable suggestions, which have made a significant contribution to narrow the income gap between urban and rural areas. Actually, the reasons which Lead to the widening income gap between urban and rural areas are complex and diverse, it's the result of many factors. This article gives its analysis on urban-rural income gap, from the perspective of human capital and social capital; it studies how the human capital and social capital affect the widening income gap between urban and rural areas.The first part in this dissertation, gives the research background, significance, research status and research ideas, methods, and innovation. The second part outlines related concepts, theoretical basis about human capital, social capital and also urban-rural income gap separately. In the third part of this paper, it gives the relevant theoretical explanation on how the human capital and social capital affect the income gap between urban and rural areas. The fourth part of this paper, it selects the time series data on food expenditure gap, education expenditure gap, and health care spending gap between urban-rural areas, from the year of 1981 to 2008, and then based on these data, it gives the empirical analysis on the relationship between urban-rural income gap and human capital. And we also give these data an ADF Test and Cointegration Analysis, after that through the Error Correction Model Analysis, we reveal the gap on food expenditure, education and health care spending between urban and rural areas affects the income gap between urban and rural areas in the long-term dynamic effects. The fifth part of this paper, the fifth part of this paper, by scoring the questionnaire and quantitative methods, we measure the variables give the impact on per capita household income levels, and then build the corresponding regression equation through the factor analysis method, which gives the study variables on behalf of the family variables. And finally gives the description on how the social capital led to the urban-rural income gap. The sixth part is the suggestion of this paper, which are mainly based on the empirical analysis of the previous chapter. We put forward countermeasures and suggestions for reducing the urban-rural income gap from the perspective of education, health care, tax and legal. The seventh part is the conclusion of this paper, which includes the main study results, the shortcomings and defects, and also the vision for the future.The emphasis part of this paper, aimed at analyzing and studying its impact on the level of urban-rural income gap from the dual perspective of human capital and social capital, especially under the perspective of social capital, the urban-rural income gap related research questions. From the micro level, to study the index selection, quantification and measurement parts on the family social capital, and give the assessment that the per capita income of urban and rural households not only influenced by the impact of human capital investment, but also the level of family social capital, especially parents educational status which is directly related to their Family income level. Therefore, much attention should be paid on the social capital which gives the impact on the urban-rural income gap.