Research On The Influence Of New Urbanization On Income Gap Between Urban And Rural Residents

Since the Reform and Opening up, Chinese economic has a rapid growth, but the Rural-urban income gap has fluctuated in a rising trend. Income gap between urban and rural areas has become a major part of the income gap. How to narrow Rural-urban income gap has become the key to the construction of harmonious society. The New Urbanization proposed we should pay more attention to the quality of urbanization. We should change the "matter-oriented concept" which formed in The Traditional-type Urbanization to the "people-oriented concept " so benefits in the process of urbanization are implemented into the human body and can reduce effectively promote Rural-urban income gap. Therefore, it has important significance to research how The New-type Urbanization impact on the Rural-urban income gap.Based on the definition of The New-type Urbanization, This paper construct a theory frame about how The New-type Urbanization effects the income gap between urban and rural areas. We elaborated the new urbanization influence mechanism to the Rural-urban income gap from the urbanization of population, economic growth, the upgrading of the industrial structure and the equalization of public service and on this basis puts forward four corresponding theoretical hypothesis. In the part of empirical research, firstly analyzed the historical evolution and regional comparison of the Rural-urban income gap. Then use the panel data of 30 provinces (except Tibet) from 2000 to 2012 constructed the panel data model of variable intercept to gave an empirical test on four theoretical hypothesis which proposed in theoretical analysis. The empirical results show that, city level increase, the upgrading of the industrial structure can significantly reduce the Rural-urban income gap but economic growth and government investment in education did not reduce the Rural-urban income gap. The variation of the function of social security expenditure on income gap between urban and rural areas are not significantly affected. Finally, based on the empirical results, put forward policy suggestions of narrowing the Rural-urban income gap when construct The Urbanization.