Based on China Household Finance Survey （CHFS） data, China＇s Gini Coefficient stood at 0.61 in 2010, above the global average of 0.44, according to the World Bank. The high Gini Coefficient represents a large incom...Based on China Household Finance Survey （CHFS） data, China＇s Gini Coefficient stood at 0.61 in 2010, above the global average of 0.44, according to the World Bank. The high Gini Coefficient represents a large income disparity of the country. It is understandable that a high Gini is common in fast-growing economies and can be reduced through government＇s transfer payments given the experience of OECD countries. This paper illustrates the breakdown of China＇s Gini, regional, rural and urban differences in household income. Specifically, it is found that poor health, insufficient social welfare and low education level are the main reasons for poverty of rural households. This paper also provides solutions to reduce the Gini coefficient. In the short term, China government can invest more on social insurance and implement large-scale transfer payments. The figure shows that China government has sufficient financial sources to strengthen secondary distribution to subsidize the low-income group. In the long term, government can increase overall educational level and reduce the opportunity inequality to narrow the income gap.展开更多
This research examines the effects of commercial insurance on household financial vulnerability using data from the China Household Finance Survey(CHFS). Data were collected from 39875households in 29 provinces of Chi...This research examines the effects of commercial insurance on household financial vulnerability using data from the China Household Finance Survey(CHFS). Data were collected from 39875households in 29 provinces of China. The probit model was used to test the relationship between the study variables. The results show that commercial insurance participation reduces the likelihood of a household’s financial vulnerability. Heterogeneity analysis found that commercial insurance participation had a more significant dampening effect on the financial vulnerability of households with low personal expenses, low-income, low human capital, rural areas, and the central and western regions, indicating that commercial insurance has a universal effect. This study offers several policy implications for combating household financial vulnerability. First, improving the commercial insurance protection system in both urban and rural areas could improve households’ risk management capacity. Second,establishing tax-rewarding policies to encourage households to participate in commercial insurance.Third, increasing the popularity of commercial insurance, particularly in rural areas, and exploring the rural commercial insurance market.展开更多
Digital literacy has become increasingly important for individuals to participate in regular economic activities,including employment,consumption,and investment.This paper quantitatively defines digital literacy with ...Digital literacy has become increasingly important for individuals to participate in regular economic activities,including employment,consumption,and investment.This paper quantitatively defines digital literacy with recently released household survey data in China and describes the digital divide across regions and ages.We further show that digital literacy increases risky asset ownership in the financial market among the middle-aged and elderly population.In this sense,this paper identifies a novel factor that affects financial investment.These findings imply that the digital divide may lead to the asset divide and wealth inequality.Family and social assistance to improve the digital literacy of disadvantaged population groups may increase financial inclusion as well.展开更多
文摘Based on China Household Finance Survey （CHFS） data, China＇s Gini Coefficient stood at 0.61 in 2010, above the global average of 0.44, according to the World Bank. The high Gini Coefficient represents a large income disparity of the country. It is understandable that a high Gini is common in fast-growing economies and can be reduced through government＇s transfer payments given the experience of OECD countries. This paper illustrates the breakdown of China＇s Gini, regional, rural and urban differences in household income. Specifically, it is found that poor health, insufficient social welfare and low education level are the main reasons for poverty of rural households. This paper also provides solutions to reduce the Gini coefficient. In the short term, China government can invest more on social insurance and implement large-scale transfer payments. The figure shows that China government has sufficient financial sources to strengthen secondary distribution to subsidize the low-income group. In the long term, government can increase overall educational level and reduce the opportunity inequality to narrow the income gap.
文摘This research examines the effects of commercial insurance on household financial vulnerability using data from the China Household Finance Survey(CHFS). Data were collected from 39875households in 29 provinces of China. The probit model was used to test the relationship between the study variables. The results show that commercial insurance participation reduces the likelihood of a household’s financial vulnerability. Heterogeneity analysis found that commercial insurance participation had a more significant dampening effect on the financial vulnerability of households with low personal expenses, low-income, low human capital, rural areas, and the central and western regions, indicating that commercial insurance has a universal effect. This study offers several policy implications for combating household financial vulnerability. First, improving the commercial insurance protection system in both urban and rural areas could improve households’ risk management capacity. Second,establishing tax-rewarding policies to encourage households to participate in commercial insurance.Third, increasing the popularity of commercial insurance, particularly in rural areas, and exploring the rural commercial insurance market.
基金funded by the National Natural Science Foundation of China[Grant No.71903007]the Rural Development Institute at Yan’an University.All errors and omissions are our own.
文摘Digital literacy has become increasingly important for individuals to participate in regular economic activities,including employment,consumption,and investment.This paper quantitatively defines digital literacy with recently released household survey data in China and describes the digital divide across regions and ages.We further show that digital literacy increases risky asset ownership in the financial market among the middle-aged and elderly population.In this sense,this paper identifies a novel factor that affects financial investment.These findings imply that the digital divide may lead to the asset divide and wealth inequality.Family and social assistance to improve the digital literacy of disadvantaged population groups may increase financial inclusion as well.
