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    How To Build "Olive Type" Wealth Distribution Pattern

    2012/3/14 15:48:00 8

    Wealth Reform And Distribution

      

    Two sessions

    A news of "Beijing workers' monthly income of 7500 yuan has no sense of security" has aroused public concern and heated debate.

    Some members think that this reflects to a certain extent the situation and mentality of the middle-income group in China.

    This year's government work report stressed the need to expand the proportion of middle income earners.

    In deepening the reform of the income distribution system, how to enlarge the "middle income group" and pform the pattern of income distribution from "Pyramid shape" to "olive shape"?


     

    Lightening the burden will bring down the high cost of living.


    "This reflects that China's middle income people are very vulnerable, enjoying less social security and welfare and heavier burden of living expenses," said Yi Min Li, a NPC deputy and professor of Southwestern University of Finance and Economics.

    "To do large and medium-sized income groups, we must first weave the social security net."

    Yang Ming, deputy director of the National People's Congress from Kunming, Yunnan, said that China's social security and welfare system mainly covers low-income groups, and middle-income groups can not enjoy such policies as urban and rural minimum living allowances and affordable housing.

    He suggested that the government should effectively increase the regulation of housing prices, stabilize prices, promote education equity, deepen medical reform and improve social security, and so on, so as to build a social security system conducive to the growth of middle-income groups for the middle income group.


    The central bank's recent survey of 20 thousand savers shows that only 17% of residents who have the intention of increasing consumption are at a historic low.

    People are most afraid that the price will rise and the tickets will be "wool".

    For ordinary bank depositors, they are thankful that the demand deposits deposited there can increase their value and time deposits.

    Tang Jianwei, senior manager of Bank of Communications Research Department, said that the reduction of residents' consumption intention is closely related to the overall high price level.

    Compared with CPI, the bank savings benchmark interest rate has increased three times, but it is still negative. The increase in consumer spending has increased the daily life pressure of residents.


     

    Increase revenue and let "two improvements" change from concept to policy.


    Statistics released by the National Bureau of statistics show that last year, China

    Urban residents

    The disposable income per capita was 21810 yuan, an increase of 8.4% over the same period last year, which is lower than the GDP growth rate of 9.2% and the increase of public revenue by 24.8%. The median per capita disposable income of urban residents is 19118 yuan, 2692 yuan lower than the average.

    Wang Qi, deputy to the National People's Congress from a private enterprise in Sichuan, said that over the past 30 years since reform and opening up, we have said goodbye to "common poverty", but far from achieving "common prosperity". Now the income distribution pattern has become "Pyramid shaped", and the gap between the rich and the poor is widening.

    Chi Fulin, President of the National Committee of the Chinese people's Political Consultative Conference (CPPCC) and director of the China (Hainan) reform and Development Research Institute, suggested that the general plan for the reform of the income distribution system should be formulated and promulgated as soon as possible, and the objectives, tasks and paths of the reform should be clarifying clearly.

    The key is to implement the "two improvements" in the top-level design, that is, to increase the proportion of residents' income in the distribution of national income, and increase the proportion of labor remuneration in the initial distribution, so that the "two improvements" can be changed from concept to policy.


    "Consumption driven growth" is the established goal of 12th Five-Year, and the first step in promoting consumption is to increase household income.

    Yu Xuejun, director of the Jiangsu banking regulatory bureau, said that in order to straighten out the proportion of the three governments, enterprises and residents, the government should make profits to the enterprises and enterprises should make profits to their employees.

    Residents' incomes will increase and consumption will be more powerful.

    Zhang Yu, who works in an organ in Beijing, said that in recent years, the minimum wage standard has been raised in many places in recent years, which has ensured the steady increase of staff and workers' income.

    The goal of the national income distribution reform is to "raise the low limit". For monopoly industries, regulation should be more targeted and further narrowing the income gap, so as to expand the proportion of the middle income group.


      

    Co ordinate, achieve "expanding" effect through "raising" and "raising low"


    "The government work report has been raised.

    Enlargement

    And raise the direction of reform.

    These three factors are related, and both high and low levels can play an important role in expanding.

    Yi Minli said, "to raise the level, expand the middle and raise the low" need to co-ordinate and push forward the "combined boxing".

    It includes adjusting the excessive income of some monopolistic industries, especially senior executives, raising the threshold of individual tax and establishing the mechanism of normal wage growth.

    "Why can't the wages of ordinary workers go up? Because the minimum wage is set low."

    Wang Pinsheng, a deputy to the National People's Congress and worker of Sichuan Dongfeng Motor Factory, said, "we hope to establish a normal wage growth mechanism and allocate more wealth to front-line workers."

    "Expansion should not only be adjusted on income, but more importantly, it should be adjusted on the opportunity to smooth the upward movement of middle and low income people and prevent social class from solidifying."

    Representative Wang Qi said.


    "Raising the income of low-income people is a major responsibility of the government. In this regard, the public resources are mainly tilted to the vulnerable groups."

    Yang Qingyu, deputy director of the National People's Congress and director of the Chongqing Municipal Development and Reform Commission, said that it mainly involved in raising the income of four groups of peasants, urban and rural residents, retirees and low paid workers.

    On behalf of Yang Qingyu, he believed that the high income class should mainly regulate unreasonable and unfair income.

    In particular, we must strengthen supervision and regulation to control excessive growth of state-owned enterprises' executives and monopoly industries, and control their unreasonable growth.

    The gradual establishment and improvement of the property tax system proposed by the plan is very effective in regulating the income of the high-income class.


    The central economic work conference held ago held that it is necessary to expand the "middle income group".

    In the prime minister's "government work report", "expanding the proportion of middle-income people" has been mentioned again.

    How to further expand the middle income group, especially by increasing people's income and stimulating consumption, has again become a topic of social concern.

    People hope that the state will adjust the income distribution more vigorously, so that residents' income growth will be more synchronized with the national income growth.

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