"Through 2003-2013 years, China's government has done a lot of work to reform the income distribution system, including comprehensive rural reform to improve the income of the farmers as the core, the establishment of medical insurance for urban residents, two times to raise
Personal income tax exemption, exemption from urban and rural compulsory education stage school fees, the establishment of national stipend system, accelerating the construction of low-income housing, and taking the active employment policy, which all helped to make the rural per capita net income growth rate slightly higher than urban residents, and to narrow the income gap between urban and rural residents. The success of the reform of income distribution is based on three categories, which are income distribution reform to adapt to the requirements of economic development, income distribution reform requiring the top-level design, and equalization of the basic public service to be the foothold and starting point of the income distribution reform. However, the residents' income gap in China is still high, the Gini coefficient for 0.44 higher than the international warning line, so China should continue to deepen reform of the income distribution system based on a comprehensive reference to international lessons."
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