Study On The Change Of Income Gap Between Urban And Rural Residents In Tianjin

One of the greatest achievements of reform and opening-up is the substantial increase of the income level of the residents. With the increase of the income level, the problem of uneven distribution of wealth that between regions, industries, urban and rural areas is gradually emerging. Among them, the most serious problem is the widening income gap between urban and rural areas. Tianjin is one of the highest degree of modernization of Chinese area, the core city of Bohai economic circle. Per Capita GDP of Tianjin in 2013 has been ranked first in the country, but the ratio of income gap between the urban and rural areas is still maintained more than 2, which does not match with the development of its level. Research on the income gap between urban and rural areas in representative city of the economic circle intends to master the the evolution of income gap between urban and rural residents in the process of industrialization and urbanization comprehensively.So we can Provide experience and lessons for the adjustment of income distribution in other areas.This article describes the research background, significance, research at home and abroad. After elaborating the urban-rural income distribution, income gap index concept,this paper analyzed the change trend of the income gap between urban and rural areas in Tianjin from the three dimensions of time, space and structure. Finding the reasons behind the hidden deep.In this paper, the causes are discussed from the following two aspects. One is economic influence factor. Economic development can not be separated from financing,investment, employment, foreign trade and so on.These basic economic factors have an impact on income through different mechanisms. The second influence factor is the two elements of urban and rural areas. The existence of the two elements economic structure plays a leading role in the income difference between urban and rural residents, and it is necessary to be incorporated into the analysis system. Principal component analysis was used to study the main factors influencing the change of income gap between urban and rural residents in Tianjin.The principal component scores were used as independent variables to fit the multiple linear regression equation, and then explain the function degree of each principal component.Then through the data conversion, the principal components transform back to the original level of the independent variables and dependent variables,and then come to the original statistical indicators on the impact of urban and rural income in Tianjin.The change of income gap is affected by many factors. Its effect is positive or negative, and mutual promotion and mutual offset.The innovation of this paper is to use a variety of research methods, which try to make a comprehensive and systematic description of the income gap between urban and rural areas in Tianjin. Not only study the total income of urban and rural residents, but also study the composition of income of urban and rural residents.The empirical results show that the main reason causing the income gap between urban and rural areas is dual economic structure. The third industrial output value accounted for the proportion of GDP, total imports and exports accounted for the proportion of GDP, the rate of urbanization and local fiscal expenditure accounted for the proportion of GDP, the four statistical indicators narrow the urban-rural income gap. The study found that there is a close relationship between the income gap and regional distribution, sources of income, urbanization, industrial structure and government policy etc.The unbalanced economic development of each part in Tianjin has resulted in the obvious characteristics of the income gap between urban and rural residents. In spatial distribution, the income gap between urban and rural residents layered outward decline roughly, remove the Binhai New Area. Among the various sources of income, wage income and transfer income are the most important causes of the income gap. Development of urbanization will eventually narrow the income gap between urban and rural areas.It powerful proved that rural surplus labor transfer to the urban industrial sector will increase rural income, and finally narrow the income gap between urban and rural areas. The upgrading of the industrial structure of Tianjin has a dual effect on the income gap between urban and rural residents. Government participation and bias will cause a great impact on the urban-rural income gap.Based on the analysis of the real economy of Tianjin, the paper puts forward some countermeasures and suggestions for the problem of income gap between urban and rural residents in Tianjin.Anyway, in the evolution of the income gap between urban and rural residents in Tianjin,which reflects the general rule of economic development, shows the effect of China’s specific development mode and policy implications on the allocation. In order to balance urban and rural development, we should speed up to abolish a variety of institutional constraints that led to unfair distribution and form a reasonable pattern of urban and rural income distribution, which promise urban and rural residents can share the fruits of reform and development.