The Empirical Research On Relationship Between Urbanization And Urban-rural Residents' Income In Chengdu City

The economic growth and coordination of urban and rural in Chengdu city has been substantially progressed with the opportunity of China Western Development. Such growth and development is mainly represented as 1) acceleration of urbanization, and 2) increasing of urban and rural residents' income. The paper, under such circumstance, will be employing existing research findings, from the regional perspective, to analyze the co-integration between urbanization and income based upon Co-integration Test and Error Correction Model, further study of such relationship dynamics will be based upon Granger Causality Test and Impulse Response Function. The empirical study, with its significance for decision-making, will analyze and recommend strategies of urbanization which impact income and remedy such disparity between urban and rural residents. The research will mainly focus on:Firstly, review of urbanization. The urban development of Chengdu is, within the four-stage of urbanization, currently under rapid growth. The urbanization of Chengdu is observed to be matching with the classic"S"curve by synchronizing previous annual urbanization level. Such urbanization also represented distinct regional characteristics: the growth of the tertiary industry explicitly accelerates urbanization, and co-development of towns and metropolitan area.Secondly, both urban and rural residents' income in Chengdu has kept increasing which exceeded provincial and national level during corresponding periods. The transitions of urban and rural income per capita incorporate with a higher former increment. Rural income structure transformed as non-agricultural income increases while agricultural one decreases.Thirdly, this research has reflected the one-way causal relationship between urbanization and residents' income, which is relatively stable in long-term as the urbanization constantly facilitates residents' income and imposes greater effect on urban residents' income. Short-term income can be affected by various factors.Fourthly, the reform of industrial structure, development of tertiary industry, and urban and rural co-development transform the binary structure of urban and rural industry along the urban development, while through resolution of spatial development difficulties and financing rural development, and increasing rural income as to remedy urban and rural income disparity.