Research On The Impact Of Foreign Trade On China's Income Inequality

The influence of the development of economic globalization on income distribution is the focus of scholars' research over the years.Income distribution is not all affected by domestic factors such as institutional change,factor flow and technological spillover,and it is also influenced by international factors,such as international trade and international investment.Moreover,with the deepening of trade liberalization,both developed and developing countries have witnessed a trend of rising income inequality.Since the reform and opening up in 1978,China's economy has achieved rapid development,but the problem of uneven income distribution has become increasingly prominent.The gap between the rich and the poor gradually emerged,mainly manifested in the continuous widening of income gap between urban and rural areas,between industries and regions.The widening income gap is also a prominent problem facing China.As a result,the system combing the domestic and foreign research results about the openness to trade and income distribution,on the basis of further research of foreign trade relations with China's income inequality,a better overall development at home and abroad to China,to narrow the gap in income,build a harmonious society has important theoretical and practical significance.This thesis analyzes the influence of foreign trade on income inequality in China,and analyzes it from three perspectives:overall,urban and rural,and industry.In the first part of the thesis,the research results of foreign trade and income distribution are sorted out,and the organizational structure and analysis method of this paper are determined.The second part of the thesis is the first generalizes the results of some existing theory,on the theoretical research results before,after building a model suitable for the Chinese situation,in the model introduced the skill premium and monopoly competition theory,combine the first building under the condition of closed economy highly skilled workers and unskilled workers income inequality model,under the condition of open economy,after the high and low skill workers carried out adjustments to income inequality model,established under the condition of open economy income inequality and income inequality under the condition of closed economy,the relationship between the results as follows:foreign trade expanded the high and low skill worker income gap.in the third part of the thesis,from the overall to the status quo of China's foreign trade in recent years and a general analysis of the present situation and problems of the income distribution in the mainly from the analysis of foreign trade import and export trade,trade dependency and trade commodity structure,mainly from urban and rural income gap of income distribution,extremum ratio and industry at anfield index is analyzed,from the status quo of concluded that foreign trade overall trends and development trend of the income inequality has consistency.The fourth part is the empirical analysis.On the empirical side,we start with two aspects.Analysis from the perspective of urban and rural areas,the China's 1995-2015 except Tibet and qinghai in the panel data of 29 provinces,autonomous regions and municipalities directly under the central government,and finally from the industry perspective,using China except Tibet from 2003 to 2015 panel data of 30 provinces,autonomous regions and municipalities directly under the central government.When to deal with provincial panel data,we use system GMM method,and adopts two-step,AR and SARGAN test,the empirical analysis result get the following conclusion:foreign trade and income in urban and rural areas and industry positively related income inequality,the relationship between the foreign trade expanded the income gap between urban and rural areas and industry the degree of income inequality.