Fig2 the main area of inequality in china as you can see is money distribution as mentioned earlier, china is showing a growing inequality in the distribution of money throughout the country, mainly divided into a more generalised inequality for riches among the west and the east. The rural gini-coefficient increased from 035 to 038 between 2000 and 2010, suggesting growing inequality within rural areas of particular concern is the large pool of migrant labour. Image caption many in china's rural provinces are left behind as urban wealth grows quickly the rapid growth of china's economy over the past three decades has been greeted with largely unquestioned assumptions that increasing affluence would lead to a happier, wealthier and more equitable society.
Yu xie and xiang zhou, of the university of michigan, conclude that inequality has been rapidly increasing due to stark differences between rural and urban, as well as regional, incomes xie and zhou find that china's gini coefficient is in the range of 053-055. In china, which pioneered the use of merit-based examinations to fill official positions, an educational system that was once a great equalizer now reinforces inequality chang qing, a friend and mother of a 16-year-old girl, has been preparing her daughter, xiaoshuang, for america since the girl was a toddler.
This widening inequality has taken place against a backdrop of rapid growth in both urban and rural incomes, as well as in a sharp increase of the share of the urban population the income gap fell sharply in the early years of reform, when the rural sector was then the primary focus of policy. As is well documented in many studies, rural-urban inequality is a major contributing factor to general income inequality in china however, “while the contribution of rural-urban inequality is much higher than that of inland-coastal inequality in terms of levels, the trend is very different. After the reform however, china’s economy began to see an economic divergence as the divide been the urban and rural populations grew (wikipedia 2013) a graph posted by the ‘national bureau for statistics in china’ (fig1) shows that from 1978 to 2010 the average wealth per chinese citizen has increased by $17,126.
Mapping china's income inequality the economic gap between coastal and inland parts of the country is just as important—if not more so—than the urban/rural divide matt schiavenza. Income inequality in china and the urban-rural divide by nan wu china’s economy is the second-largest in the world, after that of the united states, but its gdp is rising fast — up 124% in dollar terms in 2013.
China's peculiar pattern of rural-urban inequality is thus a legacy of policies enacted more than 50 years ago and not, as some would have it, the result of globalization and other forms of liberalization associated with china’s economic reforms.