Inflation,Social Networks And Vulnerability

China has been comnitted to the poverty alleviation work.In 2015,the "Thirteen Five Plan",put the targeted poverty alleviation as one of the most important goals.For this goal,the government should carry out accurate poverty alleviation strategies to accurately identify the target,focusing on poverty alleviation.With the decrease of the incidence of regional poverty,the accurate identification of the poor is particularly important.However,poverty is a dynamic system process,because households face a myriad of more localized,more heterogeneity impact.Non poor families in the future will also face the possibility of falling into poverty.Therefore,the static measurement methods and recognition of poverty should not be limited to the current level of welfare standards,poverty prevention and elimination should pay more attention to the future of the the risk caused by the shock.The concept of vulnerability to poverty has been introduced.Risks mainly include the sickness and unemployment of the core family labor force,the reduction of crop production,inflation,and natural disasters.In recent years,China has experienced a new round of inflation,which is characterized by the level of food prices higher than that of other types of consumer goods.Due to the food of income of urban residents totally dependent on the market,the urban poor households to food consumption accounted for the proportion of household consumption expenditure was higher than that of the non poor households,the superposition of the various factors makes inflation had significant impact on the urban poverty population welfare,will cause the deterioration of the depth of poverty.Therefore,it is of great practical significance to study the impact of inflation on the urban poverty and vulnerability,which is also a research focus of this paper.The factors that determine the level of vulnerability of the family mainly include the severity of the risk and the level of the family's ability to resist risks.As the basic unit of the society,the social network has its own unique role in enhancing the ability of the family to resist risks and reduce the vulnerability.The social network refers to the individual's friends and fanily or colleagues and neighbor relationship network.The research found that the use of reduction poverty of social network is mainly due to the accumulation of human capital,increasing employment and capital loan.The network can form and accumulate human capital,which is shown in the developing countries.Families can use social networks to obtain educational information,educational opportunities and educational funds.At the same time,the family is facing the risk of the impact of social networks can help with the help of the probability of poverty reduction.This paper will be based on the Chinese family survey(CFPS)2010-2012 micro survey data to estimate poverty population consumer price index(CPIP)to reflect the actual inflation impact on poverty,and based on the adjustment of poverty standard fragile precise identification and measuring of poverty population.By constructing multiple linear regression model,to study the effect of social network influence on household income;By construct Logit model to examine the impact of social networks on the possibility of family vulnerability.The main conclusions of this paper are as follows:1.CPIP is almost 4 percentage points higher than CPI,and the actual price rising level of the poor population is higher than the average level of society in general;2.International poverty standards which adjusted according to CPIP is higher nearly 119 yuan one person a year than which adjusted by CPI,accounting for 6%of the per capita net income of poor households in the sample;3.The incidence and severity of poverty after considering the effect of inflation on the poor population is higher than that of the former;4.Considering the actual impact of rising prices,20.5%of the sample family vulnerability;vulnerability identification is not considered family will miss 2%of the sample households;5.The social network can significantly reduce the probability of family vulnerability.