Study On Early Warning System To Monitor The Income Gap In Nanjing

With the rapid economic development in Nanjing, all aspects of society are entering into a more severe transition. Meanwhile, diversification of income sources of income in Nanjing not only formed a pattern of diversity, but it also brings social contradictions and conflicts of income distribution. Although Nanjing income gap is still within manageable, but if not ahead of its monitoring and early warning, the future development of the situation is not optimistic, which will affect the harmony development of political, economic, social in Nanjing in the next stage. In this context, this paper re-enters the basic theory and the important thought of Marxism, and reads carefully of allocation theory of socialism with Chinese characteristics, which is of great value and significance to a reasonable solution of Nanjing residents’income gap.Based on the allocation theory of socialism with Chinese characteristics, this paper sums up the changes of the last decade the income distribution gap in Nanjing, and investigates the factors affecting the income distribution gap in Nanjing. On this basis, the paper uses early warning methods to create a single composite index of indicators and early warning mechanism to monitor and judge the overall situation in Nanjing income distribution gap, further to prevent the income gap which is too large to cause major problems in advance issued warning signal. Therefore, the study of this paper follows the following logic:The first part discusses the allocation theory of socialism with Chinese characteristics, as well as the development of innovative in China, and the interpretation of the relevant researches on the theory of economic warning. The second part analyzes the last decade Nanjing income distribution gap variation and the effect of factors Nanjing income distribution gap, which based on this understanding of the causal relationship between these factors and the income gap between residents in Nanjing. The third part establishes a monitoring and warning system in Nanjing income gap, which is based on a single indicator and warning called Theil index, and composite index based on a comprehensive early warning. The fourth uses single indicators and composite index early warning system to monitor the income distribution gap in Nanjing, and thus make accurate judgments, which issued early warning signals. The fifth part summarizes the research, and makes six policy recommendations to narrow the income gap between residents in Nanjing.