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Appreciation of the renminbi and urban-rural income disparity

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Titre

Appreciation of the renminbi and urban-rural income disparity

Sujet

[SHS:ECO] Humanities and Social Sciences/Economy and finances
income inequality
real exchange rate
China
Urban-rural inequality

Description

Although poverty has been significantly decreased in China over the last twenty years, this decrease has been highly unequal across the provinces and has brought increased disparity in urban and rural per capita income. We studied the impact of exchange rate policy on urban-rural per capita income, which was marked by strong real depreciation before 1994 followed by moderate appreciation before stabilizing. We concluded that in the inland provinces where poverty is hardest, real appreciation has attenuated disparity whereas real depreciation had accentuated disparity. This result argues for a revaluation of the renminbi.

Créateur

Guillaumont Jeanneney, Sylviane
Hua, Ping

Date

2011-01-17

Langue

ENG

Type

preprint

Identifiant

http://halshs.archives-ouvertes.fr/halshs-00556694
http://halshs.archives-ouvertes.fr/docs/00/55/66/94/PDF/2008.24.pdf