In The Growth Of Middle-income Class To Achieve Efficiency And Fairness Of The Optimal Combination

The relationship between efficiency and equity is an important issue the academe pays much attention to lately. How to deal with the relation during the course of enlarging the middle-income stratum is a task we ought to exert ourselves to research on during the building of a socialist harmonious society. Established in Marxist view about the relationship between efficiency and equity, my thesis is to explore a path on which we can deal with the relation rightly during the course of enlarging the middle-income stratum in the frame of socialist market economy according to the situation of China.Marx and Engels thought the future society is one that is both efficient and equitable. In such a society efficiency and equity bring out the best in each other and unify themselves harmoniously. Deng Xiao-ping put forward that the essence of our country's socialism was to liberate and develop productivity, to destroy exploitation, eliminate polarization and achieve common richness ultimately. The essence of socialism requires realizing the dynamic unification of efficiency and equity.Since the foundation of new China, the exploration about dealing with efficiency and equity has gone through a devious course. The course can be parted into four stages: pursuing equalization unilaterally thus damaging efficiency, giving attention to both efficiency and equity, preferring efficiency to equity, paying much more attention to social equity. During the exploration, the stratum of our country has changed much, yet the middle-income stratum has not been expanded. This restricts the healthy development of the economy and the society on some degree thus arouses our consideration again about the relationship between efficiency and equity. The enlargement of the middle-income stratum is good to the optimized combination of efficiency and equity. We should persist in and perfect socialist income-distribution system, increase adjustment of income distribution, plan the development of cities and rural areas and all districts as a whole, increase employment by increasing investment on human capital, thus realize the optimized combination of efficiency and equity during the course of enlarging the middle-income stratum.