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Political Decision-Making,Public Expenditure in Rural Areas and Income Gap between Urban and Rural Areas

Feng Tao

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Abstract

According to time series data from 1978 to 2008,the authors make a quantitative analysis of the relationship between public expenditure in rural areas and income gap between urban and rural areas.The conclusion is that the widening in the gap between urban and rural areas will cause the passive increase in the public expenditure in rural areas,but the passive increase in public expenditure in rural areas can't shorten the income gap between urban and rural areas.Only the active increase in public expenditure in rural areas can shorten the income gap between urban and rural areas.

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What this paper is about

According to time series data from 1978 to 2008,the authors make a quantitative analysis of the relationship between public expenditure in rural areas and income gap between urban and rural areas.The conclusion is that the widening in the gap between urban and rural areas will cause the passive increase in the public expenditure in rural areas,but the passive increase in public expenditure in rural areas can't shorten the income gap between urban and rural areas.Only the active increase in public expenditure in rural areas can shorten the income gap between urban and rural areas.

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Available abstract

According to time series data from 1978 to 2008,the authors make a quantitative analysis of the relationship between public expenditure in rural areas and income gap between urban and rural areas.The conclusion is that the widening in the gap between urban and rural areas will cause the passive increase in the public expenditure in rural areas,but the passive increase in public expenditure in rural areas can't shorten the income gap between urban and rural areas.Only the active increase in public expenditure in rural areas can shorten the income gap between urban and rural areas.

Key concepts: Rural area, Public expenditure, Economic growth, Politics, Business, Economics, Political science, Public finance

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