Relationship between Social Security and Income Distribution

Social security is one of important means of income redistribution and pension and medical insurance are the main component of the social security.In this paper the empirical analysis researches the role of income redistribution which pension and medical insurance play by using the panel data.Conclusion is that the pension has adverse effects on income distribution while the distribution function of medical insurance was not significant.In order to adjust the reverse distribution effect of social security,some recommendations are proposed to correct the bias for the reform of social security in China.