The Income Distribution Of Residents Question Research In China

In this paper, using the China Health and Nutrition Survey Database (CHNS) survey data from 1988 to 2010, at first, describe the general income distribution shape among urban and rural residents in our country、income changes of different quantile and the income gap problem. The results show that income distribution of residents in our country is right skewed, the income differs in different quantile. In the previous studying towards income distribution, scholars usually set the income distribution form previously, and then use parameter estimation method to estimate the unknown parameters, but this method has many limitations. Research finds that, instead of setting the concrete distribution form, non-parametric kernel density estimation method is more suitable to fit the income distribution. Empirical analysis shows that from 1988 to 2010, the trend of income changes differ in different quantile. The higher the quantile, the faster the growth rate of income. This reflects the income gap continues to expand, and the income distribution field of our country has appeared "the poor get poorer, the rich richer", and this phenomenon called "Matthew effect".Secondly, quantile regression method will be applied to study the income distribution of our country dweller. Using income data of 2010 as an example to construct linear quantile regression model, in order to find out a suitable model to study the income distribution of our country dweller. Discussing gender, level of education, urban and rural household registration, age and region factors on income effects, as well as the significant differences of the same factors in different income quantile. Demonstrating the influence mechanism and variation of income factors comprehensively, such as gender, age and education level, urban and rural household registration and area etc. This study has a certain significance for the present stage of our country income distribution and income gap research.This paper is mainly divided into three parts to discuss. The first part, firstly, in order to have a macro impression of residents’ income distribution, we summarized the current situation of China resident’s income distribution in recent years. The second part, we compare parameter estimation method and non-parametric kernel density estimation methods, in order to find a more suitable method for the study of residents income form, then use non-parametric kernel density estimation method to fit the income distribution shape of China’s urban and rural residents roughly, income changes in different quantile. Through analysis, we conclude that the income distribution is right skewed, and "two big, middle small" income polarization trend appears. The third part, in contrast to the linear average model, demonstrated quantile regression model on the applicability of income distribution study, describe the possible influence factors of resident’s income, such as age, education, gender, regional and urban-rural factors, and then use these variables to establish quantile regression model, demonstrate the significant differences of influence factors in different income quantile. Finally, In view of the different impact on income in different quantile, puts forward some suggestions to increase the income of residents.