Research On The Impact Of Trade Liberalization On The Urban-rural Income Gap

In recent years,with the continuous improvement of economic globalization,many scholars began to pay attention to the impact of trade liberalization on urban-rural income gap.Scholars at home and abroad have also conducted a lot of theoretical and empirical studies,but their conclusions are inconsistent.Since the reform and opening up,China's foreign trade volume has been constantly increasing,the overall economy has shown a trend of high growth,and the people's life has been greatly improved,but it has not narrowed the urban-rural income gap in China.Especially since the 1990 s,China's overall urban-rural income gap has experienced the situation of first expanding and then narrowing.Therefore,it is very important to understand the impact of China's trade liberalization on the urban-rural income gap,which is of great practical significance for the Chinese government to improve people's quality of life and make the whole people enter a well-off society.Based on the review of the impact of the liberalization of trade on the basis of urban and rural income distribution theory,first of all,based on the theory of international trade,from the aspect of commodity price mechanism,we discussed the different between the urban income and the rural income because of the trade liberalization,the mechanism of technological progress,foreign capital introduction mechanism,growth mechanism,policy mechanism this way the influence of several aspects were analyzed.Then it analyzes the development of trade liberalization and urban-rural income gap in China.Finally,based on the empirical data of 30 provinces in China from 1999 to 2018,this paper analyzes the impact mechanism of China's trade liberalization on the urban-rural income gap on the basis of theory and reality.There are three aspects of empirical analysis,first of all,through the empirical analysis of the impact of trade liberalization on urban-rural income gap around 2008,we explore the relationship between trade liberalization and urban-rural income gap in China.Secondly,it analyzes the impact of trade liberalization on urban and rural incomes in the East,middle and west of China.Finally,in the development of trade liberalization around 2008,the income gap between urban and rural areas in the three regions of East,middle and West China was empirically analyzed,central and western China before and after 2008.The regression results show that although trade liberalization has significantly widened the urban-rural income gap in China on the whole,the relationship between trade liberalization and the income gap between urban and rural areas worsens first and then improves,which is the inverted U-shaped relationship.The impact of trade liberalization on the income gap between urban and rural areas in East,middle and West China is different.Although the relationship between trade liberalization and the gap between urban and rural areas in the eastern,central and western regions is inverted Ushaped.The eastern region is in the early stage of the latter half of the u-shaped stage,that is,it has changed from deterioration to improvement.The central part is in the late stage of the first half of the inverted u-shape,that is,the enlargement effect is gradually diminishing.The west is in an inverted u-shaped transition period,that is,from the deterioration to the improvement phase.Therefore,this thesis holds that we should continue to unswervingly implement the reform and opening-up policy and integrate rural people into the global production network more comprehensively.While encouraging foreign trade,we will continue to optimize China's foreign trade structure and improve regional foreign trade.At the same time,the government will continue to increase investment in rural education,increase financial expenditure on rural areas,accelerate labor transfer and change the lagging status of agriculture.