“…However, many studies report that the PRC's income inequality has increased considerably(for example, see Chen 2010;Liu 2013;Tian et al 2016;Westerlund 2013;Zhang and Zou 2012;Cheong 2012;Cheong and Wu 2012, 2013a, 2013b, 2014Li and Cheong 2016;Chen and Groenewold 2010). The rise in income inequality is detrimental to economic growth (Wan, Lu, and Chen 2006), and may lead to social instability and even political upheaval (Alesina and Perotti 1996, Voitchovsky 2005, Cheong and Wu 2015, Tian and Lo 2009; therefore, it calls for a thorough examination of the impacts of the major income determinants on regional inequality.…”