The Adaptability Of Industry Income Gap To Social Development And Influcing Factors Of Income

In recent years, the industry income gap has gradually increased，and become aprominent social problem. As the focus of scholars’ research, control the income gapamong the industries and make it adapt to social development become more and moreimportant. This article discussed the income gap among the industries of our countryfrom two aspects: the adaptability to social development and influencing factors. Atlast, we put forward some feasible recommendations to control the industry incomegap.The paper discuss the trend of the income gap among the industries in China overthe years, and then analyzed the status of the gap at this stage by using the Ginicoefficients, weighted variation coefficients of industries, Kuznets ratios and Theilindexes. The results show that the industry income gap in our country was graduallyexpanding. We must control it.Firstly, the paper observed its impact on social development. The moderate gapcan contribute to social development but too high gap has opposite effect. We measurethe effect of income gap to social development from observing its effect on threeaspects as promote economic growth, improve people’s living standards, improveresource usage and environment. Here we use the SVAR model，and establish28threelevel indexes to observe the effects of the income gap between the industries for agiven standard deviation by measure its impacts on every aspects of socialdevelopment. Finally, the article constructs the fuzzy membership function andcoordination degree model to measure the coordination of the income gap and thedevelopment of society. The research shows that the income gap at the present stagehas not adapted to social development.To control the industry income gap, we should firstly study well about thereasons which causing it. Here we use industry monopoly, industry investment inhuman capital, industry capital input and industry output level to express theinfluencing factors of income. By construct a panel data model and using14threelevel indexes, we drawn the following conclusions:(1) the factors have direct effectson the income gap.(2) The same determinant has different impacts on differentsectors of the income level and the interactions among the four factors make theindustries have different levels of income.(3) The factors affecting the income levels of each industry are different.