Urban Income Inequality, Time and Income Sources Analyses in China

Abstract

This paper studied the income mobility and income sources with a sample from the city of Shenzhen, the special economic region of China. The empirical results show that Chinese urban residents’ long term income inequality is less than short term inequality. The aggregate households’ income inequality is less than the income in single income source. The income mobility of Shenzhen is closing to the mobility of the developed countries. The mobility of income from a single source is higher than the mobility of the aggregate household’s income. The short term income mobility is less than the long term.