From Equality of Deprivation to Disparity of Prosperity: The Poverty–Growth–Inequality Triangle in Post‐reform China

From Equality of Deprivation to Disparity of Prosperity: The Poverty–Growth–Inequality... In the post‐reform era, China achieved poverty reduction that was unprecedented in human history This poverty reduction was accompanied by fast growth and worsening income distribution. The present paper examines the poverty–growth–inequality triangle in China by: (i) providing growth, inequality and poverty profiles at the national and provincial levels; (ii) uncovering the contributions of growth and inequality changes to poverty reduction; and, finally, (iii) drawing lessons for other developing countries. Based on the World Bank's definition of the poverty line, China has already eliminated abject poverty, even though the poverty rate was as high as 88.3 percent in 1981. The remarkable record in poverty reduction is predominantly attributable to growth. The effect of inequality varied in different periods. In addition, the impact of growth on poverty reduction is found to be diminishing over time, a phenomenon worth further research and policy attention. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png China and World Economy Wiley

From Equality of Deprivation to Disparity of Prosperity: The Poverty–Growth–Inequality Triangle in Post‐reform China

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Publisher
Wiley
Copyright
© 2018 Institute of World Economics and Politics, Chinese Academy of Social Sciences
ISSN
1671-2234
eISSN
1749-124X
D.O.I.
10.1111/cwe.12236
Publisher site
See Article on Publisher Site

Abstract

In the post‐reform era, China achieved poverty reduction that was unprecedented in human history This poverty reduction was accompanied by fast growth and worsening income distribution. The present paper examines the poverty–growth–inequality triangle in China by: (i) providing growth, inequality and poverty profiles at the national and provincial levels; (ii) uncovering the contributions of growth and inequality changes to poverty reduction; and, finally, (iii) drawing lessons for other developing countries. Based on the World Bank's definition of the poverty line, China has already eliminated abject poverty, even though the poverty rate was as high as 88.3 percent in 1981. The remarkable record in poverty reduction is predominantly attributable to growth. The effect of inequality varied in different periods. In addition, the impact of growth on poverty reduction is found to be diminishing over time, a phenomenon worth further research and policy attention.

Journal

China and World EconomyWiley

Published: Jan 1, 2018

Keywords: ; ; ; ; ;

References

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