Deeper Reform to Tackle Wealth Gap
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As China's widening income gap threatens social stability and hampers consumer spending, the government is moving to reform the revenue distribution system to bridge the gap and inject fresh impetus to a sustainable economic growth.
According to a recent World Bank report, the Gini Coefficient for China, a main gauge of income disparity, surged to 0.47 in 2009 as the country expanded to the third biggest economy in the word, exceeding the "security line" of 0.4, indicating unequal income distribution could arouse social unrest.
The figure was 0.21 to 0.27 three decades ago.
Despite clear government gestures of deepening reforms to increase incomes, for China, it could be difficult, or complicated, to address the problem.
(Xinhua News Agency March 14, 2010)