Characterizing Social Welfare Index between Urban and Rural Regions in China: An Application of Principal Component Analysis

중국의 도농 간 사회후생지표 특성에 관한 연구: 주성분분석에 의한 접근

  • Received : 2017.04.17
  • Accepted : 2017.06.01
  • Published : 2017.07.28


The aim of this paper is to investigate adjusting process of trade-off relationship between economic growth and income distribution in China which is established by mixed with social and market-oriented economic systems. The characteristic nature of social welfare index in urban and rural regions in China is examined by employing principal component analysis. Empirical evidences reveal that unlike national wide or urban region, the increases of income contribute to improve social well-being in rural region, but not social welfare index. Accordingly, it can be said that although social well-being in rural region seems to be harmful because of weakly organized social welfare index, the potentiality exists to improve social well-being by increased income. Taken all together, the results signifies that the mixed economic system such as China might distribute its increased income appropriately, however, the distributional system is hardly operated to improve social welfare index. And thus the distributional system has to be amended to enhance social well-being in China.


Supported by : 청주대학교


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