Study On Status And Income Development Trend Of Low-income Urban Groups

The reform and opening-up policy opens the door to the rapid economic development of China.In the past30years, China’s GDP growth rate has been10%.With China’s rapid economic growth,the living standard people’s life has been improved significantly. However, accompanied by improved living standards, people’s income gap is increasingly widening.In December2010Chen King, an expert of the Chinese Academy of Social Sciences said that the total revenue gap of our society has been expanding, Gini coefficient is0.5at present, which has obviously gone beyond the internationally accepted warning level of0.4. We have entered a situation where the income distribution is not equitable.It is a very dangerous signal.we should especially pay our attention to Low-income people and protect them.owing to cultural level, age and job skills, social industry structure adjustment and many other factors, Their income increase slowly, which has an effect on the health and sustainable development of the economy and will threaten the stability and unity of the society. Chairman Hu pointed out that the social security issues of Urban poor groups and the unemployed are fundamental issues related to the support of people and the future of a regime.Therefore,researches about low-income groups have a very important and practical significance.My essay is based on China Statistical Yearbook from the year1978to the year2010, which conducted a comprehensive analysis of the status quo and development trend of China’s low-income urban groups. I use qualitative analysis and quantitative analysis to analysis the status,the cause of the low-income groups and the factors about the slowly increasing of their income. This article also summarizes a series of impact that the low-income groups brought about to the social and economic development and social life.Besides, it also gives some policy recommendations. The main context of this article: The first chapter is the theory Review:it paves the way for theoretical preparation and the further study of this paper. There are many studies on the income distribution at home and abroad and the relevant literature and information is very rich.Domestic and foreign studies were consolidated and summarized in this part in order to lay the foundation for the later study.The second chapter is to analyze the causes of urban low-income groups. the special nature of our economic system and social development leads to the formation of low-income urban groups.This article will analyze the reasons for the formation of low-income groups from the perspective of the market economy system, China’s distribution system, the factors of economic development and low-income groups’ personal factors. It also Identifies the reasons for the formation of low-income groups to pave the way for subsequent empirical analysis and policy recommendations.The third chapter is the empirical analysis. Firstly, i will use a qualitative analysis to help people understand the basic characteristics of the low-income urban groups.second, I will Use vector auto regression model (VAR) and data from1978to2010for the quantitative analysis of low-income urban groups and will predict future trends in income of the low-income persons, manage to Identify the main cause of the real impact of income growth in low-income groups in order to use the right way to deal with it.The forth chapter is the analysis of the countermeasures. Suggestions from the perspective of the macro, micro and institutional building are given to improve the quality of life, income and recommendations of urban low-income groups. I wish what i do will help improve the quality of life of low-income groups.