The Research About The Effect Of Financial Development And Institutional Quality On The Gap Of Property Income Between Urban And Rural

Along with our country economic growth and wealth accumulation,the residents get steady overall income levels rise,but the gap of urban and rural still remains high level,which is the main constraint on the inequality,inadequate development of our country,so we should be pay attention to it.The increase of property income is accompanied by the widening of the gap between urban and rural residents.The unequal distribution of property income is one of the important problems of Chinese income structure imbalance.In recent years,the production effect,income effect,wealth effect of the financial development is increasingly prominent,the relationship between financial development and income inequality caused the attention of scholars,Whether the realization of the distribution effect function of financial development is influenced by institutional mechanism or not,which is also a hot spot in the research of scholars.To increase residents' property income and broaden channels of property income is mentioned at the17 th,18th and 19 th National congress of Communist Party of China reports,therefore,the urban and rural residents' property income achieved rapid growth.During2000-2016 year,compared with other sources of income,the growth of property income is first in the urban resident,and in the rural residents,the property income growth over the operating income,the status of property income is increasingly important in people's income.At the same time,the gap of property income between urban and rural is widening.The ratio of urban and rural property income rose from 2.85 to 12.02.It is important to narrow the income gap between urban and rural property,in order to optimize the distribution pattern of urban and rural areas,to develop harmonize between the urban and rural areas.Financial development and residents' property income has the close relation,and the realization of the function of unbalanced distribution of financial need efficient system mechanism to support,and to obtain property income also need good quality guarantee system.To study the financial development and institutional quality impacting on the property income gap between urban and rural areas has a certain theoretical and practical significance,the research conclusion can provide some policy advice to optimize the income structure in our country.So this paper discusses the mechanism of the financial development and institutionalquality affect on property income gap between urban and rural areas,in portraying the financial development,in addition to using the scale of financial variables,also introduced financial diversity,and choice protection of property rights,corruption of quality to measure quality of system.Then based on Chinese provincial data as sample,empirical research on the financial development and institutional quality affect property income allocation and growth.Study found that in terms of financial development,the optimization of financial structure compared to finance expansion is more advantageous to the rural residents' property income;protection of property rights,judicial quality,the quality of the system of government are the threshold of the financial development.Improve the quality and property rights may increase the farmers' property,but will expand the gap;the improvement of urbanization rate not only conducive to the increase of rural residents' property income and benefit distribution of property income equality between urban and rural areas.Accordingly,this paper puts forward some advises for reference: to improve the system quality construction for protecting the residents' lawful property and property income;to accelerate the construction of inclusive finance for providing differentiated financial services and reduce barriers to entry it for rural residents.To promote the urbanization process and form flow of urban and rural elements for narrowing the gap between urban and rural property income.