Family Background And Income Inequality Of Urban Residents

Under the background of the rapid development of China and the continuous development of urbanization,the social phenomena such as the gap between the rich and the poor,“New binary structure”and the solidification of social strata have attracted wide attention.Behind these phenomena,they all reflect the important role played by family background in personal development.Thus,what kind of impact the family background has on personal income and how this contributes to overall income inequality has become a question worth studying.Based on the relationship between family background and residents' income,this paper builds an intergenerational model of urban residents' income determination.This paper uses the 2013 China Household Income Survey Data(CHIP 2013)to estimate the intergenerational model and the effects of household economic,political,and educational background on the income of urban residents.Then,in order to obtain income inequality caused by differences in family background,this paper introduces the Shapley value decomposition method into the research of intergenerational income determination,and calculates the contribution of the three kinds of family backgrounds to the overall inequality.Taking the Gini coefficient as an example,the relative contribution of income inequality caused by inequality of family education background is the highest,and the family economic background is Second,the contribution of the family's political background is the least.The significance of this paper is to demonstrate the important influence of family background on the income of workers from the theoretical and empirical perspectives.The main innovation lies in the use of the Shapley value decomposition method to visualize the contribution of family background differences to residents' income inequality.The conclusions of this paper provide a way to understand how social capital factors such as family background influence the income determination and their contribution to income inequality.To provide a basis for reducing the risk of stratum solidification and the “New binary structure” risk in the process of urbanization.The policy implications are: First,since the difference in family education has the greatest contribution to the income inequality of the residents,the gap in residents' educational background should be reduced by means of promoting the equal rights of education.Second,by promoting fair competition in the labor market,eliminating barriers to entry and discrimination in high-income industries,reducing space for rent-seeking in the labor market through institutional and technological innovations,and reducing parents' unreasonable impact on their children's income.