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CPS1254 Yu Jin et al.


                                The measurement of inequality of
                                       opportunity in China
                                       Yu Jin, Ni Wendong
                  School of Statistics, Dongbei University of Finance and Economics,Dalian ,China

            Abstract
            Based on the data of China General Social Survey from 2003 to 2013 and a
            review  of  the  existing  methods  of  inequality  of  quantitative  measurement
            opportunities,  this  paper  uses  parametric  and  no-parametric  methods  to
            quantitatively measure the degree of opportunity inequality and its changing
            trend of income inequality in China. The results reveal that the inequality of
            opportunity  which  the  China's  residents  are  suffering  in  the  process  of
            obtaining income is increasingly serious, and the inequality of opportunity is
            rising  faster  than  income  inequality,  at  the  same  time,  the  influence  of
            individual' efforts on the income is becoming increasingly weak.

            Keywords
            Inequality  of  Opportunity;  parameter  method;  no-parameter  method;
            Changing Trend

            1.  Introduction
                With the continuous development of China's economy and society, the
            residents' income has achieved steady growth. But the income gap is still large
            and  unable  to  be  solved,  the  Gini  coefficient  of  the  income  remains  high.
            According to the data released by the National Bureau of statistics, the Gini
            coefficient has been above 0.44 of the global average since 2003. In 2016, the
            Gini coefficient of China's resident income was 0.465, and 0.4 is usually taken
            as a warning line in the world. More than 0.4 indicate that the income gap is
            large.  Thus,  there  has  been  a  very  serious  problem  of  unequal  income
            distribution in our country. Income inequality causes residents to "hate rich"
            mentality, which leads to rising crime rate and social unrest. At the same time,
            excessive  income  inequality  will  affect  economic  growth,  and  even  more
            serious will lead to political instability.
                The Central Committee of the party and the State Council attaches great
            importance to the issue of income distribution, and has repeatedly proposed
            to  focus  on  solving  the  problem  of  excessive  income  gap,  thus  forming  a
            reasonable distribution pattern of income, which will benefit the people all
            over the country more fairly and truly realize the goal of common prosperity
            for the whole people. Based on this "big environment", income distribution
            has always been a hot topic for domestic scholars. In recent years, the trend


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