Achieving Equity and Efficiency Simultaneously in the Primary Distribution Stage in the People's Republic of China
This paper establishes a theoretical framework addressing the long-debated issue of efficiency and equity. Empirical evidence shows that a comparative-advantage-following development strategy promotes growth and narrows the income gap, achieving both efficiency in production and equity in income dis...
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| Format: | Journal Article |
| Language: | EN |
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2012
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| Online Access: | http://hdl.handle.net/10986/4700 |
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okr-10986-47002021-04-23T14:02:19Z Achieving Equity and Efficiency Simultaneously in the Primary Distribution Stage in the People's Republic of China Lin, Justin Yifu Liu, Peilin Personal Income, Wealth, and Their Distributions D310 Taxation and Subsidies: Externalities Redistributive Effects Environmental Taxes and Subsidies H230 Planning Models Planning Policy O210 Measurement of Economic Growth Aggregate Productivity Cross-Country Output Convergence O470 Socialist Systems and Transitional Economies: Planning, Coordination, and Reform P210 Socialist Systems and Transitional Economies: Factor and Product Markets Industry Studies Population P230 Socialist Systems and Transitional Economies: National Income, Product, and Expenditure Money Inflation P240 This paper establishes a theoretical framework addressing the long-debated issue of efficiency and equity. Empirical evidence shows that a comparative-advantage-following development strategy promotes growth and narrows the income gap, achieving both efficiency in production and equity in income distribution. A review of the past three decades of reform reveals that development in line with the comparative advantage of the People's Republic of China accounts for its outstanding economic performance. The dominant causes of the country's current problems are the remaining distortions in prices and government interventions in resource allocation. Therefore, to put the government's "scientific development outlook" into practice and to realize development with quality and speed, the country should deepen marketoriented transformation by eliminating these distortions and interventions. The inclusiveness of development can be further strengthened with financially sustainable social security and transfer payment policies. 2012-03-30T07:29:18Z 2012-03-30T07:29:18Z 2008 Journal Article Asian Development Review 01161105 http://hdl.handle.net/10986/4700 EN http://creativecommons.org/licenses/by-nc-nd/3.0/igo World Bank Journal Article China |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
EN |
| topic |
Personal Income, Wealth, and Their Distributions D310 Taxation and Subsidies: Externalities Redistributive Effects Environmental Taxes and Subsidies H230 Planning Models Planning Policy O210 Measurement of Economic Growth Aggregate Productivity Cross-Country Output Convergence O470 Socialist Systems and Transitional Economies: Planning, Coordination, and Reform P210 Socialist Systems and Transitional Economies: Factor and Product Markets Industry Studies Population P230 Socialist Systems and Transitional Economies: National Income, Product, and Expenditure Money Inflation P240 |
| spellingShingle |
Personal Income, Wealth, and Their Distributions D310 Taxation and Subsidies: Externalities Redistributive Effects Environmental Taxes and Subsidies H230 Planning Models Planning Policy O210 Measurement of Economic Growth Aggregate Productivity Cross-Country Output Convergence O470 Socialist Systems and Transitional Economies: Planning, Coordination, and Reform P210 Socialist Systems and Transitional Economies: Factor and Product Markets Industry Studies Population P230 Socialist Systems and Transitional Economies: National Income, Product, and Expenditure Money Inflation P240 Lin, Justin Yifu Liu, Peilin Achieving Equity and Efficiency Simultaneously in the Primary Distribution Stage in the People's Republic of China |
| geographic_facet |
China |
| relation |
http://creativecommons.org/licenses/by-nc-nd/3.0/igo |
| description |
This paper establishes a theoretical framework addressing the long-debated issue of efficiency and equity. Empirical evidence shows that a comparative-advantage-following development strategy promotes growth and narrows the income gap, achieving both efficiency in production and equity in income distribution. A review of the past three decades of reform reveals that development in line with the comparative advantage of the People's Republic of China accounts for its outstanding economic performance. The dominant causes of the country's current problems are the remaining distortions in prices and government interventions in resource allocation. Therefore, to put the government's "scientific development outlook" into practice and to realize development with quality and speed, the country should deepen marketoriented transformation by eliminating these distortions and interventions. The inclusiveness of development can be further strengthened with financially sustainable social security and transfer payment policies. |
| format |
Journal Article |
| author |
Lin, Justin Yifu Liu, Peilin |
| author_facet |
Lin, Justin Yifu Liu, Peilin |
| author_sort |
Lin, Justin Yifu |
| title |
Achieving Equity and Efficiency Simultaneously in the Primary Distribution Stage in the People's Republic of China |
| title_short |
Achieving Equity and Efficiency Simultaneously in the Primary Distribution Stage in the People's Republic of China |
| title_full |
Achieving Equity and Efficiency Simultaneously in the Primary Distribution Stage in the People's Republic of China |
| title_fullStr |
Achieving Equity and Efficiency Simultaneously in the Primary Distribution Stage in the People's Republic of China |
| title_full_unstemmed |
Achieving Equity and Efficiency Simultaneously in the Primary Distribution Stage in the People's Republic of China |
| title_sort |
achieving equity and efficiency simultaneously in the primary distribution stage in the people's republic of china |
| publishDate |
2012 |
| url |
http://hdl.handle.net/10986/4700 |
| _version_ |
1764392441894404096 |