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| Title: | | Poverty reduction in China: Trends and causes  |
| Authors: | | Zhang, Yin Wan, Guanghua |
| Issue Date: | | 2006 |
| Series/Report no.: | | Research Paper, UNU-WIDER, United Nations University (UNU) 2006/152 |
| Abstract: | | Applying the Shapley decomposition to unit-record household survey data, this paper investigates the trends and causes of poverty in China in the 1990s. The changes in poverty trends are attributed to two proximate causes; income growth and shifts in relative income distribution. The Foster-Greer-Thorbecke measures are computed and decomposed, with different datasets and alternative assumptions about poverty lines and equivalence. Among the robust results are: (i) both income growth and favourable distributional changes can explain China’s remarkable achievement in combating poverty in rural areas in the first half of the 1990s; (2) in the second half of the 1990s, both rural and urban China suffered from rapidly rising inequality and stagnant income growth, leading to a slow-down in poverty reduction, even reversal of poverty trend. |
| Subjects: | | poverty Shapley decomposition unit-record data China |
| JEL: | | O15 O53 |
| ISBN: | | 929190936X=978-92-9190-936-0 |
| Document Type: | | Working Paper |
| Appears in Collections: | | WIDER Research Papers, United Nations University (UNU)
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