Rural–urban Migration and Dynamics of Income Distribution in China: A Non–parametric Approach

Abstract

Extending the income dynamics approach in Quah (2003), the present paper studies the enlarging income inequality in China over the past three decades from the viewpoint of rural–urban migration and economic transition. We establish non‐parametric estimations of rural and urban income distribution functions in China, and aggregate a population‐weighted, nationwide income distribution function taking into account rural–urban differences in technological progress and price indexes. We calculate 12 inequality indexes through non‐parametric estimation to overcome the biases in existing parametric estimation and, therefore, provide more accurate measurement of income inequality. Policy implications have been drawn based on our research.

Effect of Parental Migration on the Academic Performance of Left‐behind Middle School Students in Rural China

“…. Rural to urban labor migration not only provides migrant workers with more employment opportunities and higher wages (Liu and Zou, 2011;Li et al, 2013), but has also changed the demographic composition of rural China. In particular, it has created a generation of children who remain in the countryside with a s urrogate caregiver when their parents migrate for work (Duan and Zhou, 2005;Ye et al, 2006;Zhan et al, 2014).…”

Convergence and transitional dynamics of China's industrial output: A county-level study using a new framework of distribution dynamics analysis

“…Although the importance of understanding the inequality in industrial output is well established, no research has been conducted to study the distribution dynamics of industrial output at the county-level. In fact, many researchers have employed distribution dynamics approach in studying convergence and evolution of different economic characteristics in China (He & Zhang, 2007;He, 2010;Herrerías, 2012;Herrerías, et al, 2010;Herzfeld, 2008;Ho & Li, 2006Li, 2003;Liao & Wei, 2012;Liu & Zou, 2011;Pu, et al, 2005;Sakamoto & Fan, 2010Sakamoto & Islam, 2008;Villaverde & Maza, 2012;Villaverde, et al, 2010;Wang, 2011;Wang & Zhu, 2013;Wei & Ye, 2009;Zhou & Zou, 2010;Zhu, et al, 2008). However, most of these researchers have focused on the inequality in per capita income or GDP, though some of them have employed distribution dynamics analysis in studying the inequality in other socioeconomic issues.…”

Income Inequality in the People's Republic of China: Trends, Determinants, and Proposed Remedies

“…() found that reducing roading inequality would lead to a reduction of income inequality. Infrastructure investment, particularly in the rural areas, could facilitate rural–urban migration and achieve more rapid technological progress in the rural sector (Liu and Zou, ).…”