Empirical Analysis on the Contrary Regulation of Redistribution Mechanism to the Income Gap of Urban Residents

The paper measures the income gap of urban residents in China from 1981 to 2006,and an empirical analysis is made on the regulatory effect of redistribution mechanism by using Gini coefficient.The research shows that regulatory effect of redistribution mechanism is not clear to narrow the income gap of urban residents,secondary income distribution hascontrary regulationeffect on the income gap of urban residents before 2004,and the third income distribution enlarges the gap.Besides,the function of individual income tax needs to be improved.