Residents'income Mobility And Its'influence Factors In China

Income inequality is a serious issue in economic society right at present. But if we take income mobility into account, income inequality in long time may be not that serious as people think. Once we Integrate income inequality and mobility, we can transfer from static analysis of income difference to dynamic analysis of income mobility, so that we can understand income distribution more deeply.This thesis uses a variety of indicators to comprehensively measure income mobility from year1989to2009.The result shows that from1989to2000, income mobility of rural dweller sostenuto decreased, and income mobility of the city residents first increased and then decreased. From2000to2009, the result shows that personal income mobility of the rural and city residents decreased first and then increased. No matter which stage, rural income mobility is greater than urban income mobility. In addition, no matter in the city or countryside, basically all the calculation results show that income mobility lowered long-term income inequality.We select multinomial logistics model to analyze those influencing factors of income mobility. The result shows that, in the countryside, gender, education, regional differences have significant influence on the residents' income mobility. In addition, in rural areas, the men at the wheel of the machinery of state, organization of Party, enterprises, institutions, professional and technical personnel, clerk and related workers, operators of production, transport equipment and related workers are more easier to fall down to lower ranks than production personnel whose work are related to agriculture, animal husbandry, fishery, water conservancy. In cities, professional and technical personnel have less opportunity to flow up to higher ranks than production personnel whose work are related to agriculture, animal husbandry, fishery, water conservancy. While clerk and related workers, workers of commercial, service industry and operators of production, transport equipment and related workers have less probability to flow down to lower ranks, and they can keep on primary ranks.Therefore, China should accelerate the reform of income distribution system, improve the education system and social security system, so as to promote the rational income mobility, and reduce the degree of income inequality.