Research On The Impact Of Technological Innovation On Income Inequality

In the past few decades,global income inequality has risen sharply.From 1980 to 2016,the richest 1% of humanity has gained 27% of world income.In 1991-2014,there were 29 of the top 50 in the world.The proportion of the labor force income of the economy has declined.China's income inequality is also particularly serious.According to the latest data from the National Bureau of Statistics,China's Gini coefficient has been showing an upward trend in volatility.In 1994,the value has exceeded the international warning line of 0.4,and the highest reached 0.491 in 2008.However,there is no consensus on the main reason behind the surge in income inequality(Aghion,2016).Therefore,in order to study the reasons behind high-income inequality,this paper provides a new perspective to explore the impact of technological innovation on income inequality.And empirical analysis of the impact of technological innovation on different income groups.The 19 major report pointed out that improving people's livelihood must make income distribution more reasonable and orderly,adhere to economic growth while achieving simultaneous growth of household income,expand middle-income groups,increase income of low-income people,and regulate excessive income.This paper empirically examines the theoretical framework of the impact of technological innovation on income inequality and uses data from 83 cities in 13 provinces in the CHIP2013 data.The results show that:(1)technological innovation has no significant effect on the Gini coefficient between urban and rural areas,and the impact on the overall Gini coefficient is significantly positive,indicating that the impact of technological innovation on the Gini coefficient mainly comes from urban and rural areas;technological innovation The increase and expansion of the Gini coefficient in the east has no significant impact on the west;(2)the rate of return on technological innovation to income is significantly positive,but its impact on different income groups is significantly different,and it is brought about by the innovation of middle and upper income groups.The effect of income growth is the biggest,so technological innovation will increase the income differentiation of different income groups while increasing income;the return rate of technological innovation is different between urban and rural areas,and the rate of return to urban areas is always higher than that of rural areas,which may widen the income gap between urban and rural areas.(3)Technological innovation significantly increased the top-level revenue share and had the greatest impact at the top 20%.Therefore,technological innovation can significantly increase the income share of the top layer,making the benefits of technological innovation more for the rich.In addition,the extent to which technological innovation affects income changes is also related to other factors.For example,the per capita education level,economic development level,and population density can alleviate the tendency of excessive income concentration to the top level,and play a role in narrowing the income gap.Urbanization and marketization rate increase may increase income inequality.Based on the above conclusions,optimizing the skill structure of labor supply,increasing scientific and technological innovation,formulating corresponding competition policies,and reforming the income distribution system will help slow down income to the top and reduce income gap.