A Study On The Cause Of Household Poverty And The Effect Of Income-increasing From Social Capital Perspective

China, as the largest developing country in the world today, has became the second largest country in terms of economy scale, however the GDP per capita is still relatively lower than average. Further, for a long time, China's poverty standard has been at a low-end, with a slower increase yearly comparing to GDP and consumer price, which directly causes underestimation to the poor population. According to the latest poverty standard (with purchasing power less than 1.25USD/headcount/day) issued by the United Nations, China has 211 million poor people, ranking the second in the world. After nearly 30 years, the efforts in growing rich have made remarkable achievements with the infrastructure and development environment in poverty-stricken areas being significantly improved, however with the deterioration of income inequality, relative poverty has become more than prominent.Following the physical capital and human capital, social capital becomes the third in economic research, which as a powerful analysis tool revealed in relevant literatures, plays an important role in economic development, income growth, anti-poverty, democracy development and many other aspects as well and opens a new window for poverty research.From the social capital perspective, this paper is intended to analyze a framework fitting into Chinese actual based on family and its social relationship, and to explore how it impacts a family's income growth together with physical capital and human capital.Based on the figure collected from ten cities, a Binary Logit model is built with which the three kinds of capital's effects on family poverty analyzed. Also, there is a further detailed analysis on how social capital's every constitution impacts the gap to the poverty standard, and how it impacts the family in city and countryside differently. Main sections of this paper as follows:The first chapter is, first an introduction to the background and purpose of this paper, following the key points in the body, and thirdly the methodology.The second chapter is literature review section. First, it defines what social capital is in this paper by studying the reference. Second, it gives the connotation of poverty based on poverty-related research and finally clarifies the importance of social capital in antipoverty by poverty-related empirical research.The third chapter is a theoretical analysis on the causes of poverty from three-dimensional perspectives. First, the lackage of physical capital initially encumbers overall economic growth's positive impact on antipoverty. Second, from the perspective of human capital, education and health investment are the mainly focus; Finally, through analysis on social capital's attribution and function, elaborates the formulation of poverty from both direct and indirect mechanism, and also looks into the collaborative mechanism of the three aspects.The forth chapter is three dimensions of capital and income of poor families Empirical test. Binary Logit model by constructing the empirical results show that household per capita physical capital stock, head of the household level of education, head of the household is the amount of training and social capitals have on the family's relative poverty in a significant impact. Among them, the higher the physical capital stock, the higher the level of education, training and good health-headed households, the probability of its occurrence lower relative poverty. From the other control variables, we find that the more the number of households vulnerable to poverty; male head of household poverty than female heads of households were less likely to occur; headed households also have administrative duties as an executive office than not headed households more likely to lower their incidence of poverty; the political landscape for the poor was not significant. By household per capita poverty gap for the multiple regression analysis, empirical results show that the amount of social capital, the more the smaller the household per capita poverty gap; structural elements of social capital and the net difference between the top of the network from the variables of poverty, more significant impact; Comparative analysis of the data by urban and rural areas, the impact of family poverty is different from the factors, as opposed to urban poor families, farmers mutual assistance between family poverty for the improvement of their own have a more important influence.The fifth chapter is the main conclusions and policy recommendations. First of all, respectively, from the normative and empirical analysis of research findings both a summary of the full text. Secondly, based on the conclusions of this paper put forward the social capital five corresponding policy recommendations. Finally, this study points out the deficiencies of the Department need further study.The innovation of this paper is mainly reflected in the following three aspects: first, the paper from the perspective of social capital and use research data to re-examine the problem of poverty in China, the physical capital, human capital and social capital, the combination of the three to explore the Chinese family The mechanism of poverty. Second, in terms of social capital measure, respectively, both from the structure and to measure the cognitive and structural social capital as a choice real analysis of social capital. Third, quantitative analyses, to explore social capital increased household income were investigated.