Financial Structure, Development of Small and Medium Enterprises, and Income Distribution in the People’s Republic of China. Asian Development Review, Vol. 25(1-2), pp. 137-155
Liu, Minquan; Yu, Jiantuo | August 2008
Abstract
Since the 1980s, income disparity has increased significantly in the People’s
Republic of China, largely as a result of widening urban–rural income gaps.
The urban–rural inequality stems from the dual economic structure between
urban and rural areas as well as the insufficient development of
nonagricultural industries and township and village enterprises in rural areas.
The economic divergence across regions can also be related to the unbalanced
development of small and medium enterprises (SMEs). Promoting the
development of SMEs in rural areas and economically underdeveloped
regions could help reduce urban–rural and regional income inequality.
However, a banking structure dominated by the four state-owned commercial
banks is not conducive to the development of SMEs and thus not conducive to
reducing the present economic disparity.
Citation
Liu, Minquan; Yu, Jiantuo. 2008. Financial Structure, Development of Small and Medium Enterprises, and Income Distribution in the People’s Republic of China. Asian Development Review, Vol. 25(1-2), pp. 137-155. © Asian Development Bank. http://hdl.handle.net/11540/1687. License: CC BY 3.0 IGO.Citable URI
http://hdl.handle.net/11540/1687Metadata
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