Alleviating the Residents´ Income Gap in China

The main reasons of the excessive residents´ income gap in China are the lower proportions of labor payment and residents´ income in the first distribution and redistribution, and enterprises and government have occupied the residents´ income. As for the unfair income distribution, it appears mostly because of the imperfect political and economic systems and income distribution system, such as corruption, monopoly and the unguaranteed rights of vulnerable groups. In this regard, this paper puts forward three countermeasures in order to alleviate residents´ income gap. Firstly, pay attention to equal opportunity in first distribution, deepen the reform of state-owned enterprises, create equal opportunities for the competition circumstance, protect workers´ rights, strengthen the construction of civil servants´ wage system, improve the quality of employees. Secondly, focus on low-income people in the redistribution, improve taxation structure and optimize financial expenditure structure. Finally, mobilize social forces, improve self-building of charitable organization, play the role in the third distribution, and help vulnerable groups.