Study On The Influence Of The Flow Of Production Factors On Urban-Rural Income Gap In The Process Of Urbanization

In China,there are obvious two element structure characteristics in rural areas and urban areas.Compared to the level of city area with backward agricultural development scale and low township enterprises in rural areas,with high added value second third industry.Under the condition that other conditions remain unchanged,it can pay higher returns to the elements,leading to the continuous flow of rural production factors to the city.However,this flow has led to its not because the system barriers can get a reasonable allocation;on the other hand,due to the demand of rural economy and city economy of production factors,leading to the city economy because of ample supply factors and get further development,and compared to the rural economy,because of the production factors flowing from countryside to city although,at some level,to solve the problem of idle rural production factors,but also restricts the development of rural economy,for example,capital outflows led to inadequate investment in agriculture,land transfer to agricultural land reduction.Therefore,how to better promote the flow of production factors is helpful to the development of rural economy and narrowing the income gap between urban and rural areas.This paper firstly in the theory of the flow of factors influencing mechanism on the income gap between urban and rural areas are summarized,mainly in three aspects:first,the flow will lead to the city economy because the accumulation of elements and get further development,and the elements of the set of elements of city party to reduce the cost and increase the city residents the price of assets,to further expand the income of urban residents,lead to the expansion of income gap between urban and rural areas.Forming factor agglomeration effect.Second,due to factors in the process of flow,the user element has a monopoly competitive position,can only get very little income of rural residents in the main distribution of value leads to the flow of production factors.At the same time,as the government,in the system,the existence of rural production factors flow restrictions;in fiscal expenditure,the bias of the city,which further weakened the rural residents enjoy the benefits of the rights in flows.In the process of factor mobility,urban residents obtain more factor income,that is to say,it enlarges the income gap between urban and rural areas.Third,due to the flow of the elements has its own profit,that is where the elements of a high reward will flow to where the resulting rural production factors were paid higher elements compared to stay in the rural areas in the process flow of town.Therefore,the flow of production factors will increase the income level of rural residents,and improve the income level of rural residents can have the ability to lead to human capital,fixed assets investment,and through the accumulation of factors on the formation of city residents to catch up,so conducive to narrowing the income gap between urban and rural areas.Based on the analysis of the mechanism of the combination of several main current rural to urban and rural production factors,this paper analyzes the human capital and labor,capital and land,these four kinds of production factors on the income gap between urban and rural areas,the influence mechanism of the theoretical model,the current situation,finally,through the analysis of panel data of 30 provinces in the country 2005-2014 of the year.The results are as follows:(1)Labor flow showed negative effect on the income gap between urban and rural areas,the income effect of labor from rural to city flow generated higher than the output effect of labor flow to the city's economy.(2)The improvement of the level of human capital has a narrowing effect on the income gap between urban and rural areas.This shows that with the improvement of rural residents' human capital level,it will get higher wage income.(3)The flow of capital is positively affecting the income gap between urban and rural areas.The flow of capital will cause the city to get enough capital and get further development,and rural areas due to capital outflows led to the shortage of agricultural and township enterprises capital investment,its development is limited,Thus,the gap between urban and rural economy is further expanded.(4)The land flow will expand the income gap between urban and rural areas,which shows that it is difficult to ensure the transfer of land in the current land system,the rural residents get more land expropriation price,resulting in land value-added benefits for the vast majority of all urban residents,which lead to the expansion of the income gap between urban and rural.(5)In the region,the eastern and western regions in the same labor flow,human capital flow,capital flow impact on the income gap between urban and rural areas in the direction,but the effect of the differences.In the land,the land transfer price and rural land use efficiency,city land utilization efficiency in different areas,due to the direction of the eastern and western regions of the negative influence of the direction of the central area is.Therefore,in the conclusion,this article gives some suggestions:(1)The reform of relevant system must flow on the limit factors,promote the rational flow elements.(2)We must perfect the factor market and improve the market level of essential factors.(3)Increase investment in rural areas,improve the living environment in rural areas,thereby promoting two-way flow of production factors.