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The Urban-Rural Income Gap and Income Inequality in China

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Understanding Inequality and Poverty in China

Part of the book series: Studies in Development Economics and Policy ((SDEP))

Abstract

Studies of China’s inequality almost universally report that the gap between urban and rural household incomes in China is large, has increased over time, and contributes substantially to overall inequality. According to most estimates, mean per capita income in urban China is more than triple that in rural areas, giving China one of the highest urban—rural income ratios in the world. The size of this gap has been discussed in the Chinese official media, is noted in government and Communist Party reports, and is the motivation for major policy initiatives such as the ‘Build a Socialist New Countryside’ campaign of 2006, which aims to reduce the gap by boosting public spending in rural areas.

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Authors
  1. Terry Sicular
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  2. Yue Ximing
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  3. Björn Gustafsson
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  4. Shi Li
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Editor information

Editors and Affiliations

  1. World Institute for Development Economics Research (UNU-WIDER), Finland

    Guanghua Wan (Senior Research Fellow and Project Director) (Senior Research Fellow and Project Director)

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© 2008 United Nations University

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Sicular, T., Ximing, Y., Gustafsson, B., Li, S. (2008). The Urban-Rural Income Gap and Income Inequality in China. In: Wan, G. (eds) Understanding Inequality and Poverty in China. Studies in Development Economics and Policy. Palgrave Macmillan, London. https://doi.org/10.1057/9780230584259_2

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