Economic Growth Pressures,Fiscal Expenditure Propensity and the Rural-urban Income Disparity
Achieving"sustained and stable macroeconomic growth"and"significantly narrowing the income gap between urban and rural areas"are important elements of common prosperity,and they are also the main objectives of local governments in China.In conjunction with the manage-ment of growth target,this paper examines the impact of local governments'economic growth pressures on the urban-rural income gap,and uses panel data of prefecture level cities from 2003 to 2019 to conduct empirical tests.It is found that there is a U-shaped relationship between economic growth pressure and urban-rural income gap.Mechanism test finds that the main reason for this non-linear relationship is the biased difference in local government fiscal spending.Heterogeneity analyses finds that there are clear regional differences in the impact of economic growth pressures on the urban-rural income gap.Increasing the level of urbanization and improving the quality of eco-nomic development are both conducive to narrowing the urban-rural income gap.This paper pro-vides a new perspective on the mechanism of changes in the urban-rural income gap in China,pro-vides new empirical evidence for a more comprehensive understanding of the incentives of local gov-ernments for economic growth.The research conclusions are of great significance for the solid pro-motion of common prosperity.
economic growth pressurerural-urban income disparityfiscal expenditurescom-mon prosperity
万方数据
维普
