The Income Gap Between Urban And Rural Areas Of

Get rapid development in recent years, our country’s economy, all aspects of the infrastructure construction will continuously complete, residents’ living standard also improved significantly, it is worth noting at the same time, the income gap between residents is more and more especially the income gap between urban and rural residents. Due to the change of government policy goals, the government on the implementation of urban and rural development strategy, positive policy of leaning to urban residents, and burden tend to rural residents, so the policy will form the Chinese characteristic of the urban and rural bias. Only rely on the social forces and the market mechanism cannot completely solve the problem of urban and rural residents income gap, this needs the government to give play to the role of the policy guidance, redistribution of income. Governments by according to certain target for timely adjust the public finance expenditure structure and scale, and a basic function of finance to adjust income distribution, so it will be the principal means of government to adjust income distribution. Based on this, this paper studies with city-biased policy of public finance is the focal point in the execution of urban and rural residents’ income gap in income distribution function specific effects.First, this paper analyzes the mechanism of the formation of the theory of city bias and of regulating income distribution to do the corresponding theory of public finance, at the same time, the city towards public financial impact on the income gap between urban and rural areas made a theoretical analysis. Then on the basis of theoretical analysis to do empirical test, the empirical analysis of urban biased public financial impact on the income gap of urban and rural residents in our country. The specific conclusions are:(1) the support agriculture expenditure increase significantly narrow the income gap between urban and rural residents; The improvement of social security significant narrowing the income gap between urban and rural areas; The science-education-culture-health and infrastructure since the city to the severity of the income gap between urban and rural areas not play to the role of the response,(2) the improvement of economic growth will help to narrow the gap between the income of urban and rural residents; The development of urbanization will narrow the gap between urban and rural residents income; The participation of local government on economic activity will enlarge the gap; Employment of the reform of the ownership structure will also expand urban and rural residents income gap,.The empirical results above, this paper puts forward the corresponding policy recommendations:(1) the increase of fiscal expenditures for supporting agriculture, effective improve the farmers’ income,(2) establish a perfect rural social security mechanism,(3) adjust the direction of fiscal expenditure, increase investment in the science-education-culture-health.