| A pioneer in development economics Nobel laureate Arthur Lewis pointed"Changes in income distribution is the process of development of the most politically significant, is also the most likely to cause jealousy and confusion of psychological instability, and not a very good understanding of why these changes occur, and what role it will play, it is impossible formulate a viable policy."It is an indisputable fact that there is a wide gap in income distribution during the process of Chinese economic restructuring, growth and efficiency-seeking. According to the relevant data from National Bureau of Statistics, the Gini coefficient of Chinese residents rose from 0.32 in 1978 to 0.41 in 2000 and 0.47 in 2008, exceeded the international warning line. From an overall view of the situation of Chinese income distribution, the income gap has been expanding ceaselessly since the reform and opening up policy. This issue has caused great concern all over our country and has become the focus of research in the field of public policies. The gap in income distribution is not only an important aspect of market failure, but also the important area of government intervention on the market.Taxation, as one of the most important tools for government to remedy the market failure, is an important part of economic policy system. It is a desirable path or way for government to regulate the gap of income distribution among individuals through tax policy, which can effectively regulate the distribution gap and promote social justice. The effect of regulating depends on the degree of progression. Tax revenue progression is one of the important standards to appraise the equality of tax system. This paper measures the tax progression to determine the effect of regulation based on the theory of tax progressive theory and measurement model in view of the facts of recent gradually expanding Chinese income gap, and lays the theoretical and empirical basis for further optimization of the tax system. |
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