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As the first chapter, this chapter introduces the background of the study and offers a literature review both at home and abroad, and then it gives a bird’s-eye view of the methods and structure of the book.
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Notes
- 1.
For the Gini coefficient of urban and rural income from 1978 to 1999, see Chen Zongsheng and Zhou Yunbo (2002). That from 2000 to 2008 is based on our calculation from data in China Yearbook of Statistics after proper adjustment. The reason for adjustment is if the Gini should be calculated by the seven-grouping data provided in China Yearbook of Statistics, it would be too low relative to other measurements in representative regions. On inquiry from experts in the State Bureau of Statistics, we learn that the various data from over the country go to the Bureau has been flattened, and regional inequality has been smoothed. To see the real impact of regional inequality, we must readjust the data. For concrete steps of adjustment, see Chen Zongsheng and Zhou Yunbo (2002: 32–34). Besides, the data about rural income in China Yearbook of Statistics are not normalized, a far distance from direct calculation of Gini Coefficient, and need adjustment and estimation, the methods of which are seen in Chen Zongsheng and Zhou Yunbo (2002: 37–40). The Gini coefficient of total income inequality is calculated by means of Urban/Rural Weighted Method, the concrete calculating method of which can be seen in Chen Zongshegn and Zhou Yunbo (2002: 28).
- 2.
The most commonly used explanation for the lower urban income inequality than rural one is that most urban residents are employed in state-owned sectors which have relatively lower income inequality, while rural income, dependent on a variety of factors like distance to cities, quality of land, non-agricultural development and climate, demonstrates higher inequality.
- 3.
Research by Ximing Wu and Jeffrey (2005) substantiated this conclusion. Investigating the change of urban total income inequality using published data from 1985 to 2001, they found that in the years under review, enlargement of urban income inequality, which is less than rural one, was more accelerated and would end up surpassing rural income inequality.
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Zhou, Y., Qin, Y. (2012). Introduction. In: Empirical Analysis on Income Inequality of Chinese Residents. Gu Shutang Academic Fund of Economics, vol 1. Springer, Berlin, Heidelberg. https://doi.org/10.1007/978-3-642-24952-5_1
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