Study On The Effect Of Poverty Reduction From The Perspective Of People's Livelihood Expenditure On Rural Income Gap

The problem of rural poverty is one of the focus issues of continuous attention at home and abroad in recently years.Since the reform and opening up,China's poverty alleviation work has made great progress,and the poor population in rural areas has fallen sharply.In 1978,the rural poverty-stricken population in China was about 250million.By 2016,it had dropped to 43 million 350 thousand,and the incidence of rural poverty dropped to 4.50%.However,since twenty-first Century,rural poverty still restricts the completion of a comprehensive well-off society,which is an urgent need for the government to resolve the livelihood of the people.2017 is a crucial year for the full implementation of the"13th Five-Year"plan,it is a crucial year to promote structural adjustment,transformation and upgrading.In order to achieve the 13th Five-Year planning objectives and requirements,anti poverty poverty policy goal is imminent,the next 4 years,our current standards as well as about 70000000 poor people still living in poverty.Therefore,in such a crucial stage,the internal causes of rural poverty in the past,a comprehensive analysis to determine the rural poverty problems,to thoroughly implement the next step precise poverty alleviation policy,has important practical significance and theoretical significance for the future direction of poverty alleviation.The nineteenth major reports of the Communist Party of China pointed out that there are still many shortcomings in the field of people's livelihood.The task of tackling poverty is hard,and the gap between urban and rural development and income distribution is still large.The masses face many difficulties in employment,education,medical treatment,housing,pension and so on.To meet the needs of people for a better life,^[1]must make great efforts to solve these problems,bring real benefits to millions of families,and also provide strong source of power for economic and social development.Therefore,in the context of the integrated development of urban and rural areas in China,will the financial expenditure of the people's livelihood effectively reduce the poverty in rural areas?Does the size of income gap affect the mechanism and strength of the impact of the livelihood of the people's Finance on rural poverty?The settlement of these problems obviously helps to reveal the deep internal causes of rural poverty,so as to better optimize the structure of people's livelihood financial expenditure,and fully bring about the effect of poverty alleviation and poverty reduction through livelihood expenditure.Only targeted implementation of the various policies on people's financial expenditure will help reduce rural poverty and facilitate the completion of the 13th Five-Year Plan.Based on the data of provincial panel data from 2006 to 2015,this paper uses dynamic GMM?GMM?and threshold panel regression model to estimate the impact of livelihood finance expenditure on rural poverty in the perspective of income gap.The results show that:people's livelihood and fiscal revenue and expenditure is an important reason for poverty.When the income gap is lower than the threshold,the effect of people's livelihood fiscal expenditure on poverty reduction is obvious.When the income gap is widening,the poverty reduction effect of the people's livelihood expenditure will be weakened by the widening income gap.However,when the income gap exceeds the certain threshold,the increase of the people's livelihood finance expenditure will increase the rural poverty level.