Research On The Effect Of People’s Livelihood Expenditure On Income Distribution In Xinjiang Province

In recent years, with the development of the economic in Xinjiang province, thestandards of people’s living continue to improve, but the income gap between urbanand rural is expanding. In Xinjiang Province, the absolute income gap between urbanand rural areas was200yuan in1978. However, the absolute income gap betweenurban and rural is10072yuan in2012, income gap between urban and rural widened57.635times in more than30years. What the income distribution gap is too generalwill bring a series of economic and social problems. Central government should paymore attention to the fairness of income distribution. The government get revenuefrom the rich by taxation,then give subsidy to the pour by transfer payments, to realizesocial fairness in distribution. In the process of fiscal expenditure, the governmentshould expand the scale of the expenditure, optimize expenditure structure, andrationally allocate resources to realize maximizing the efficiency of fiscal expenditure.People’s livelihood expenditure is the important part in fiscal expenditure, is also theessence of public finance. Researching the livelihood of the people spending has moretargeted meaning for improving people’s life. Therefore, there are more importanttheoretical significance and practical significance by the empirical analysis the effectof people’s livelihood expenditure on the income distribution in Xinjiang for themacroscopic goal of narrowing the income gap and realize social justice.Based on the above consideration, this paper is divided into five parts. Drawfrom other scholars research, through the empirical model analyze the influence of thepeople’s livelihood expenditure on income gap. The first part briefly describes theresearch background, significance, method, framework, focus, innovation points; Thesecond part mainly introduce the mechanism of the people’s livelihood expenditure toincome distribution; The third part introduces the present situation about income inXinjiang, and the income gap between urban and rural, and analysis the influencingfactors of the income distribution in Xinjiang; The fourth part, the empirical analysis.Researching the scale of the people’s livelihood expenditure influence on the gap ofincome by STR model. By gray relational model measure the influence of the people’slivelihood expenditure structure on the income gap. The fifth part, according to theconclusion about the effect of the people’s livelihood expenditure on income distribution from empirical analysis, and put forward to the corresponding fiscalcountermeasures and suggestions to narrow the income gap and achieve social equity.