Research On The Impact Of Rural Industrial Integration On Urban-rural Income Gap

The 20 th National Congress of the Communist Party of China Report points out that high-quality development is the primary task of building a modern socialist country in an all-round way.Development is the first priority of the Party in ruling and promoting the country.However,at present,the development of China’s rural areas is still relatively backward,and there are large differences in the level of coordinated regional development,especially when the world is undergoing a century of unprecedented changes and accelerating evolution,with prominent urban-rural conflicts and international tensions.The gap between the income levels of China’s rural residents and urban residents is constantly widening under the influence of various historical legacy issues.In the special period of economic transition,the phenomenon that rural areas are lagging behind in various aspects and farmers’ incomes are far lower than those of urban residents must be given high priority by all parties,and the only way to rationalise these issues is to promote new ideas for development,renew domestic economic vitality and change the status quo of unbalanced rural and urban development.At this stage,rural industrial integration models reflect obvious differences depending on their characteristics and the geographical location in which they are located.Whether rural residents can truly benefit from industrial integration and achieve increased wealth is a topic worthy of in-depth study and joint exploration.Firstly,this paper carefully collects,collates and summarises the research results and information on the development of rural industrial integration and the urban-rural income gap,reviews the dynamic evolution of China’s rural industrial integration and development,and summarises the reasons for the ever-widening urban-rural income gap,and then,based on the requirements of the rural revitalisation strategy,explores the mechanism of the influence of the urban-rural income gap in conjunction with the knowledge learnt.Immediately afterwards,on the basis of comparing relevant researches,the difficulty of obtaining sample data,continuity,as well as the applicability of indicators were analysed,and the comprehensive evaluation index system supporting this study was determined,which consists of seven representative secondary indicators.The study then carried out a comprehensive evaluation by entropy method,so as to have an objective and comprehensive understanding of the level of rural industrial integration in each province.Once again,the data of indicators reflecting the urban-rural income gap were quantified,and the current situation and problems of the level of rural industrial integration and the urban-rural income gap were briefly elaborated.After that,the empirical analysis is carried out with the provincial panel data of 31 provinces and regions(excluding Hong Kong,Macao and Taiwan)in China from 2013 to 2019 as samples,and the key explanatory variables(i.e.comprehensive evaluation results)are introduced into the panel data model to analyse the direction and extent of the impact of rural industrial integration development on the urban-rural income gap based on the overall model,regional heterogeneity model and robustness test.The empirical results show that: i)China’s rural industrial integration is on an upward trend overall,and,rural industrial integration can significantly narrow the urban-rural income gap;ii)the level of rural industrial integration in China’s eastern regions is generally higher than that in the central and western regions,and the results of the regional heterogeneity test indicate that,as rural industrial integration continues to advance,its effect in narrowing the urban-rural income gap shows a trend that the central region in the western region is significantly higher than that in the eastern The results of the regional heterogeneity test show that,as the integration of rural industries continues to advance,its effect in narrowing the urban-rural income gap is significantly higher in the central part of the western region than in the eastern part.Third,the integration of rural industries can reduce the urban-rural income gap through its impact on rural economic growth.Based on the results of the data analysis and empirical analysis,this paper proposes countermeasures in four aspects: optimising the mode of rural industrial integration,improving the main body of rural industrial integration,enhancing the growth rate of rural economy and establishing the mode of rural industrial integration according to local conditions,with a view to further narrowing the urban-rural income gap.