Carlsson, Fredrik () (Department of Economics, School of Business, Economics and Law, Göteborg University) Qin, Ping () (Department of Economics, School of Business, Economics and Law, Göteborg University)
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This paper examines the concern for relative standing among rural households in China. We use a survey-experimental method to measure to what extent poor Chinese farmers care about their relative income and find that the respondents care to a high degree. Compared to previous studies in developed countries, the concern for relative standing seems to be equally strong among rural households in China. This should be seen in the light of the rapid change China has undergone, with high growth, increased inequality, and the highest urban-rural income ratio in the world. Thus, the rural population, which is lagging behind, is suffering not only from the low absolute income but also from low relative income.
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Paper provided by Göteborg University, Department of Economics in its series Working Papers in Economics with number
308.
Length: 20 pages Date of creation: 22 May 2008 Date of revision: Handle: RePEc:hhs:gunwpe:0308
Contact details of provider: Postal: Department of Economics, School of Business, Economics and Law, Göteborg University Box 640, SE 405 30 GÖTEBORG, Sweden Phone: 031-773 10 00 Web page: http://www.handels.gu.se/econ/ More information through EDIRC
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