scholarly journals Fiscal Decentralization, Corruption and Urban-Rural Income Inequality: Evidence from China

2015 ◽  
Vol 05 (04) ◽  
pp. 476-481
Author(s):  
Longlong Duan
Keyword(s):  
Income Inequality ◽  
Fiscal Decentralization ◽  
Rural Income ◽  
Urban Rural

The impact of foreign direct investment on urban-rural income inequality

2016 ◽  
Vol 8 (3) ◽  
pp. 480-497 ◽  
Author(s):  
Chunlai Chen
Keyword(s):  
Economic Growth ◽  
International Trade ◽  
Income Inequality ◽  
Fixed Effects ◽  
Knowledge Spillovers ◽  
Employment Creation ◽  
Content Type ◽  
Rural Income ◽  
Urban Rural ◽  
The Impact

Purpose The purpose of this paper is to analyse the impact of foreign direct investment (FDI) on urban-rural income inequality in China. Design/methodology/approach This study uses the provincial-level panel data and employs the fixed-effects instrumental variable regression technique to investigate empirically the impact of FDI on urban-rural income inequality in China. Findings The study finds that while FDI has directly contributed to reducing urban-rural income inequality through employment creation, knowledge spillovers and contribution to economic growth, FDI has also contributed to increasing urban-rural income inequality through international trade. Practical implications The study has some policy implications. First, as the study finds that FDI not only contributes to reducing urban-rural income inequality through employment creation, knowledge spillovers and contribution to economic growth, but also contributes to increasing urban-rural income inequality through international trade, therefore, apart from improving local economic and technological conditions to attract more FDI inflows, China should re-design FDI policies by shifting away from encouraging export-oriented FDI to encouraging FDI flows into the industries and sectors in line with China’s overall economic structural adjustments and industrial upgrading. Second, policies should focus on increasing investment in infrastructure development and in public education, which not only can reduce urban-rural income inequality but also can attract more FDI inflows. And finally policies should be designed to accelerate urbanisation development by focusing on urban-rural integrated development, household registration system reform and proper settlement of rural migrants in urban areas, thus reducing urban-rural income inequality. Originality/value The paper makes two major contributions to the literature. First, the paper adopts the fixed-effects instrumental variable regression technique to deal with the endogeneity issues in estimating the impact of FDI on urban-rural income inequality, producing more consistent estimates. Second, the paper investigates not only the direct impact of FDI on urban-rural income inequality through the effects of employment creation, knowledge spillovers and contribution to economic growth, but also the indirect impact of FDI on urban-rural income inequality through its activities in international trade, adding new empirical evidence to the sparse literature on the impact of FDI on income inequality in China.

Clustering, growth and inequality in China

2020 ◽  
Vol 20 (5) ◽  
pp. 1207-1239
Author(s):  
Di Guo ◽  
Kun Jiang ◽  
Chenggang Xu ◽  
Xiyi Yang
Keyword(s):  
Economic Growth ◽  
Panel Data ◽  
Income Inequality ◽  
Instrumental Variables ◽  
Industrial Clusters ◽  
Regional Economic Growth ◽  
County Level ◽  
Cluster Development ◽  
Rural Income ◽  
Urban Rural

Abstract This study examines the effects of China’s industrial clusters on regional economic growth and urban–rural income inequality within a region. A density-based index (DBI) is developed to capture the unique features of cluster development in China. From a county-level DBI panel data constructed based on firm- and county-level datasets, we find that clusters enhance local economic growth substantially. Moreover, the existence of entrepreneurial clusters (clusters mainly consist of nonstate-owned firms) helps to reduce local urban–rural income inequality by increasing the income of local rural residents. We also find that the clustering effects on growth and reduction of inequality are less significant in more urbanized regions or megacities. Identification issues are carefully addressed by deploying two-stage estimations with instrumental variables and Granger test.

scholarly journals Spatial Effects of Domestic Tourism on Urban-Rural Income Inequality

2021 ◽  
Vol 13 (16) ◽  
pp. 9394
Author(s):  
Zhixin Zeng ◽  
Xiaojun Wang
Keyword(s):  
Income Inequality ◽  
Rural Areas ◽  
Spillover Effect ◽  
Eastern Region ◽  
Spatial Effects ◽  
Rural Income ◽  
Domestic Tourism ◽  
Urban Rural ◽  
The Impact ◽  
Tourism Revenue

Although much of the recent research has explored the relationship between domestic tourism and income inequality among regions, provinces, and cities, few studies have examined the impact of domestic tourism on income inequality between urban and rural areas within a region. This paper uses a panel dataset covering China’s 31 provinces for 21 years to investigate the spatial spillover effect of domestic tourism on urban-rural income inequality. An increase in domestic tourism revenue in neighboring provinces leads to a reduction in the local province’s urban-rural income inequality. Innovatively, we decompose domestic tourism revenue and consider the circumstances in different provinces. An increase in the number of neighboring provinces’ domestic tourists’ arrival decreases the local province’s urban-rural income inequality in western provinces but increases the inequality in eastern provinces; the effect is insignificant in central provinces. In order to improve urban-rural income inequality by attracting domestic tourists, this study suggests a collaborative strategy for the western region, a low-priority strategy for the central region, and a mitigation strategy for the eastern region.

The Urban-Rural Income Gap and Income Inequality in China

2008 ◽  
pp. 30-71 ◽  
Author(s):  
Terry Sicular ◽  
Yue Ximing ◽  
Björn Gustafsson ◽  
Shi Li
Keyword(s):  
Income Inequality ◽  
Income Gap ◽  
Rural Income ◽  
Urban Rural

Reforms on county-level fiscal governance in China: impact on urban-rural income inequality

2019 ◽  
Vol 24 (2) ◽  
pp. 81-100
Author(s):  
Xuhong Su ◽  
Kelan Lu ◽  
Xiangming Hu ◽  
Yuqiong Xiang
Keyword(s):  
Income Inequality ◽  
County Level ◽  
Rural Income ◽  
Urban Rural
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