Is that really a Kuznets curve? Turning points for income inequality in China

Ravallion, Martin; Chen, Shaohua

doi:10.1007/s10888-022-09541-x

Cited by 20 publications

(9 citation statements)

References 68 publications

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“…However, this approach is inaccurate because different provinces define different income classes and ignore the within-class differences. Some scholars have instead used microdatabases (Kakwani et al, 2022;Ravallion and Chen, 2022) to construct the Gini index, but Chinese data are not available for consecutive years and for all provinces. Thus, it has proven to be very difficult to calculate a representative value of the Gini index at the provincial level.…”

Section: Dependent Variablesmentioning

confidence: 99%

What are the stumbling blocks to shared prosperity in China

Guo,

Yang,

CAO

2024

Preprint

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statement: Sharing prosperity is a goal of human society, but unreasonable income distributions develop that lead to social unrest and regime change. However, around the world, a small number of people have begun to own most of society’s wealth. China, the world's largest socialist country, is supposed to fight for the rights of the proletariat, but has also been suffering from an increasingly serious wealth inequality. We studied the available income data for Chinese provinces (from 2003 to 2019) and in contrast with previous research, found that the wealth gap depended on how the inequality index was calculated and on differences in regional characteristics. Our results provide insights that will benefit other countries plagued by wealth inequality.

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Section: Dependent Variablesmentioning

confidence: 99%

What are the stumbling blocks to shared prosperity in China

Guo,

Yang,

CAO

2024

Preprint

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“…Martin Ravallion, a researcher from World Bank also argues that China's ability to align well-articulated social policies with marketoriented reform was an essential strategy to winning the war on poverty. He further explains that, the resultant effect of this led to macroeconomic stability, which played a critical role in shrinking the poverty count (Ravallion and Chen, 2022). Such strategy was doable due to China's effective administrative competence, coupled with the civil services strong performance orientation (Teng, Ma, Pahlevansharif and Turner, 2019).…”

Section: Lessons Learntmentioning

confidence: 99%

China’s war on poverty

Bakre

2023

IJRBS

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Prior to China’s reform, the poverty count surpassed that of the whole African continent. However, within five years, the Chinese could reverse this narrative. Between 1980 and 2020, China lifted a staggering 800 million citizens out of poverty. By February 2021, the Chinese declared that the war on ‘absolute poverty’ had been won when measured using the standard equivalence of $2.30 a day per person. In consonance with the Chinese feat on poverty, the study examines the strategy adopted in defeating poverty and highlights fundamental lessons that rural developmental stakeholders in South Africa may embrace in achieving a similar feat. To achieve this aim, the study adopted a literature review alongside a desktop analysis in deducing critical lessons from the Chinese war on poverty that may apply to rural developmental stakeholders in South Africa. Hence, an extensive assemblage of earlier studies on Chinese poverty alleviation strategies was looked into systematically. The study highlights potential challenges the South African rural developmental stakeholders may face in an attempt to replicate the Chinese stratagem. The study thus concludes with practical steps rural developmental stakeholders in South Africa may adopt to create viable rural spaces devoid of egregious forms of poverty.

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“…The level of inequality is often highlighted as a source of variation, with lower initial inequality associated with a stronger association between growth and poverty reduction (Bergstrom, 2020;Bourguignon, 2003;Cerra et al, 2021;Lakner et al, 2020;Ravallion, 2001). Also, building on the notion of the 'Kuznets curve', that is a U-shaped relationship between growth and poverty, it is commonly hypothesised that the growth elasticity of poverty will be higher as economies develop and modernise, although this hypothesis has been increasingly challenged by empirical research on LMICs during later decades (see, for example, Ravallion and Chen, 2022). Beyond the influence of transfers, the growth elasticity of child poverty could in similar ways be influenced by other social protection measures.…”

Section: Alternative Explanationsmentioning

confidence: 99%

When growth is not enough: Do government transfers moderate the effect of economic growth on absolute and relative child poverty?

Sirén

2023

Global Social Policy

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Economic growth is commonly seen as the main driver of poverty reduction in a global perspective, but its impact varies substantially across cases. Meanwhile, the literature has been relatively silent regarding the role of social policy in explaining this variation. In light of an emerging attention to redistribution and social protection in promoting inclusive growth, this article analyses how government cash transfer systems moderate the effect of economic growth on both relative and absolute child poverty across low- and middle-income countries. The empirical analyses compare trends within 16 countries, using data from the Luxembourg Income Study (LIS), by means of descriptive analyses and multivariate regression techniques. Findings show that both economic growth and the expansion of government transfer schemes were associated with falling absolute child poverty rates. While the association between growth and relative child poverty was on average more muted, the analyses found growth to be related to reductions in relative child poverty when combined with sufficiently extensive government transfers, while the opposite effect was found in the face of inadequate levels of transfers. The study provides a framework for studying interrelated effects of national institutions and economic processes, with the findings highlighting the fruitfulness of including indicators on social protection policies when inquiring about enabling conditions for inclusive growth in a development context.

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Is that really a Kuznets curve? Turning points for income inequality in China

Cited by 20 publications

References 68 publications

What are the stumbling blocks to shared prosperity in China

What are the stumbling blocks to shared prosperity in China

China’s war on poverty

When growth is not enough: Do government transfers moderate the effect of economic growth on absolute and relative child poverty?

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