Research on the Impact Mechanism of Urbanization to Narrow the Urban‐Rural Income Gap: Empirical Analysis based on China's Provincial Data

Xin Yi

《Frontiers in Economics and Management》 4卷1期 (2023/01) Pp. 205-215

https://doi.org/10.6981/FEM.202301_4(1).0022

摘要

Does urbanization and industrial structure widen or narrow the urban‐rural income gap? What role does China's economic development play in the relationship between the three? In order to solve these two problems, the industrial structure and economic development are integrated into the analysis framework of urbanization and urban‐rural income gap. Through the construction of an adjusted intermediary effect model, based on China's inter provincial panel data from 1999 to 2020, the impact mechanism between the three is empirically studied. The results show that urbanization directly reduces the urban‐rural income gap on the one hand, and indirectly reduces the urban‐rural income gap by promoting the rationalization of industrial structure on the other hand; Economic development has further strengthened the direct and indirect effects of urbanization on narrowing the urban‐rural income gap. In view of this, this paper finds that the current urbanization and economic development have formed a good mutual promotion relationship. Therefore, in order to narrow the urban‐rural income gap, we should continue to promote the urbanization process and vigorously develop the economy.

關鍵字

Urban‐rural Income Gap ； Urbanization ； Industrial Structure ； Economic Development

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