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Poverty, inequality, and growth in urban China, 1986–2000

Xin, Meng, Gregory, Robert and Youjuan, Wang (2005) Poverty, inequality, and growth in urban China, 1986–2000. Journal of Comparative Economics, 33 (4). pp. 710-729. ISSN 0147-5967

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Although urban China has experienced spectacular income growth over the last two decades, increases in inequality, reduction in social welfare provision, deregulation of grain prices, and increases in income uncertainty in the 1990s have increased urban poverty. Using a large repeated cross section household survey from 1986 to 2000, this study maps the changes in income, inequality, and poverty over the fifteen-year period and investigates the determinants of poverty. We find that the increase in poverty in the 1990s is associated with the increase in the relative food price and the need to purchase items that were previously provided free or at highly subsidized prices by the state, i.e., education, housing and medical care. In addition, the increased saving rate of poor households, which is due to an increase in income uncertainty, contributes significantly to the increase in poverty measured in terms of expenditure

Item Type: Article
Uncontrolled Keywords: ResPubID18418; poverty, income growth, inequality, China
Subjects: Historical > Faculty/School/Research Centre/Department > Centre for Strategic Economic Studies (CSES)
Current > FOR Classification > 1402 Applied Economics
Historical > SEO Classification > 9199 Other Economic Framework
Depositing User: VUIR
Date Deposited: 18 Apr 2012 02:44
Last Modified: 18 Apr 2012 02:44
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Citations in Scopus: 122 - View on Scopus

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