Two Sides of the Same Coin? Rebalancing and Inclusive Growth in China

Growing (un)equal: fiscal policy and income inequality in China and BRIC+

“…There are various methods of estimating the Gini coefficient, resulting in significant differences. For example, the China Household Finance Survey conducted by Texas A&M University and Southwestern University of Finance and Economics in Chengdu, estimated that the overall Gini coefficient was 0.61 in 2010.2Lee, Syed, and Wang (2013) provide a detailed account of China's development model and its potential effects on income distribution.3 According to the Chinese Family Panel Studies, conducted by Peking University and covering 14,960 households in five province-level areas, the top 5 percent bracket earned 23 percent of total household income, while the households in the lowest 5 percent bracket accounted for just 0.1 percent of total income.4 At the beginning of gaige kaifang, Deng Xiaoping's popular slogan was "We should let some people get rich first, both in the countryside and in the urban areas"(Shawki, 1997).©International Monetary Fund. Not for Redistribution…”