2005Shanghai Jiaotong Daxue Xuebao(Shehui Kexue Ban)Requires access

Income Gap and Social Harmony

Yuan En-zhen

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Abstract

The reform in China eliminated the egalitarian practice of everyone taking food from the same big pot, but has resulted in a huge difference in income and an array of social conflicts and problems. In a market economy, the income gap and its widening result from the inadequate system and policy, and also from being devoid of an appropriate system to regulate the transition process. We should acknowledge the difference between various distribution policies, and try to avoid robbing the wealthy to aid the needy; fiscal and social redistribution methods should be applied to help the disadvantaged groups; moreover, the pace of market economy construction should be accelerated and the transition force should be increased so that the space for rent-seeking and profiteering can be limited. The income difference will not affect social harmony and stability, as long as the living standard of the low-income group improves year by year.

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The reform in China eliminated the egalitarian practice of everyone taking food from the same big pot, but has resulted in a huge difference in income and an array of social conflicts and problems. In a market economy, the income gap and its widening result from the inadequate system and policy, and also from being devoid of an appropriate system to regulate the transition process. We should acknowledge the difference between various distribution policies, and try to avoid robbing the wealthy to aid the needy; fiscal and social redistribution methods should be applied to help the disadvantaged groups; moreover, the pace of market economy construction should be accelerated and the transition force should be increased so that the space for rent-seeking and profiteering can be limited. The income difference will not affect social harmony and stability, as long as the living standard of the low-income group improves year by year.

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Available abstract

The reform in China eliminated the egalitarian practice of everyone taking food from the same big pot, but has resulted in a huge difference in income and an array of social conflicts and problems. In a market economy, the income gap and its widening result from the inadequate system and policy, and also from being devoid of an appropriate system to regulate the transition process. We should acknowledge the difference between various distribution policies, and try to avoid robbing the wealthy to aid the needy; fiscal and social redistribution methods should be applied to help the disadvantaged groups; moreover, the pace of market economy construction should be accelerated and the transition force should be increased so that the space for rent-seeking and profiteering can be limited. The income difference will not affect social harmony and stability, as long as the living standard of the low-income group improves year by year.

Key concepts: Pace, Disadvantaged, Redistribution (election), Economics, Redistribution of income and wealth, Standard of living, Income distribution, Harmony (color)

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