An Income Convergence Analysis of Rural Residents in China

Sungil Choi; Cho Jun-Hyeon; 박혜란

doi:10.18013/jnar.2013.28.1.009

The most serious issues of the recent Chinese economy are the three great disparity problems-the gap between regions, the gap between urban and rural areas, and the gap between classes. This paper did an analysis on the income convergence of China’s rural residents and of three regions(eastern, central western), employing a panel data of Chinese provinces for the period of 1978～2011. The result shows that the income of rural residents has converged in all the three regions. While, prior to 2001, the level of income convergence was the highest in the central region. But, after 2001, the western region marked higher convergence than the central region. This means that the great western development projects have contributed to increasing the income level of the rural areas in absolute terms and to the improvement of the income distribution of rural residents in western region.

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