China At This Stage Personal Income Gap Cause Analysis And Countermeasures Research

Income personal distribution gap is a big problem in Chinese present economical development. Despite it is unavoidable during Chinese system-switching period, more attention should be paid to the negative effects caused by further gap. It was decided in the Fourth Plenary Session of the 16th Chinese Central Committee that the establishment of harmonized society is of most significance in order to adopt the profound social change. One of the key factors is to distribute reasonably personal incomes and keep the fairness of the society in constructing harmonized society. Therefore, the analyzing the personal distribution situation and the concerning factors related to personal income gap should be more great attention and further adjusting the policy personal income distribution to cope with the issue of expanded gap is well.According to the investigation of the personal income gap in China, many domestic experts have made considerable theoretical discussion and practical analysis about personal income gap's causes, its changes, economic and social effects, and government countermeasures for solving these problems. There are a lot of valuable researches that are mainly concentrated on the gaps between urban and rural areas, the regional differences, which are emphasized on several or single aspects of personal incomes. However, lots of investigations should be done, such as, how to analyze the complicated causes enlarging the gaps among personal incomes, how to take Gini coefficient as a measurement of personal income gap, and how to eliminate the negative effects of income gap and then to realize social fairness.Comparative analysis on main index measuring income gap such as Gini coefficient and variability coefficient is made at first in this paper with probing work, pointing out their limitation, especially Gini coefficient, and how to put it into analysis on our income gap. By copying foreign successful adjusting measures and experiences, survey on our income gap is conducted from different perspective. The shaping of our income gap is a very complicated process with general causes and special ones such as system switching. Finally, train of thought and assertion to eliminate negative effects of income gap are put forward to realize social fairness claiming that our aim is not only to shorten gap but to make sure the development, stability and fairness of the whole society by expansion of ratio of mid-incomers, together with a series of countermeasures are offered aiming at its causes.The main research features of this paper are as following: 1. A new discussion about Gini coefficient based on present situation is done in order to find out its limitation. 2. This paper play an attention on the flexible utilization of system analysis to probe into deep causes with the solution to shortening personal income gap present. 3. This an attention not only on general causes but special reasons to make the research more practical and effective.The result of this paper offers new systematic research perspective and analytical approach for the issue of income gap, based on which, countermeasures to shorten our personal income gap are proposed. The result of this paper not only offers researching framework and analytical thought for complete analysis on individual income gap, but also offer theoretical basis and strategies for the government to control income distribution and regarding laws, together with relative policies to be made.