Study On The Change Of Urban And Rural Income Gap Since The Reform And Opening Up In Zhejiang

Since the reform and opening up,the income disparity becomes increasingly serious,and has exerted influence on keeping healthy economy operation.Urban-rural disparity is not only the most important part of resident’s income gap,but also widens the income disparity.The study on formation mechanism and measures about Urban-rural income disparity is always the heated topic in political economy.With rapid economic growth,Zhejiang has become one of the provinces with the highest income in China,and also become one of the provinces with the smallest urban-rural gap.Researching on the transformation and features of Zhejiang province’s income gap from 1978,and taking some measures,we can know about the mechanism of income gap better,no matter from theory or practice significance.The income gap between urban and rural areas in Zhejiang has experienced two stages: vibrant expansion and continuing reduction,which present a path of inverted U type.Wage income gap is the most important part that constitutes the urban-rural income disparity.However,the wage income of residents in rural area has increased rapidly,with the improvement of non-agriculture.So the wage income gap’s devotion to urban-rural disparity is declining.Economic growth and income distribution system are critical to the allocation of residents between urban and rural.Great changes have taken place on China’s distribution system,which establish the multiple allocation system with distributing according to one’s work.So the income gap is caused by different economic growth between urban and rural areas,not the allocation system.Ownership reforms、dual economic structure、FDI and other factors have led to the different economic status and income structures between urban and rural areas,at the same time,led to income gaps.Therefore,we should take some measures to narrow Zhejiang province’s income gap,such as improve urbanization level、promote rural revitalization and relieve dual economic structure.Creative points in this paper can be described as follow: first,it concluded the periodical and regional characteristic of Zhejiang province’s income gap systematically from 1978.Second,this paper adopts multiple regression model to research the various impact of income disparity,which make up for the shortage of single factor analysis in the past.