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CIIDWPNo.55-Gustafsson
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2016/11/30 20:59:55
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struggle12
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This paper investigates how household income, income inequality and poverty among urban residents in China have developed since 1988 with an emphasis on the period 2007 to 2013. We use CHIP data and show that during a period when many countries in the West experienced stagnating or falling incomes household income in urban China grew by on average 7 percent per annum. However, different from during previous periods earnings grew by not more than 3 percent per annum, while pensions and imputed rents of owner occupied housing grew considerably faster. The trend of fewer and fewer persons in urban China having income lower than a poverty line expressing a constant purchasing power continued between 2007 and 2013. We also show that income growth from 2007 to 2013 was slower in the lower part of the income distribution and thus the trend of increased income inequality in urban China continue. The same applies to the number of people falling under a relative poverty line.
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