Skip to content

CRN: Reform of Wealth Redistribution System Requires Breakthrough

China Review News (CRN) recently published a commentary about the issue of reforming the system for the redistribution of wealth, which has been identified as a focal point of public opinion. The commentary suggested that a breakthrough will be required in five areas to solve the problem of the unfairness in the distribution of wealth: (1) First-time distribution needs to avoid the sharp differences that exist between the company’s growth versus wage growth and between management income versus the income of the average worker. (2) The process needs to include the growth of government income versus the growth of citizen’s income. (3) The reform must solve the root cause of “gray income” and corruption. (4) Enhanced tax system reform is required to improve the balancing function of taxation. (5) The average citizen’s income level should be raised when the job market expands. The commentary also called for protecting China’s middle-class population. The author concluded that reform is not a simple matter. Instead, it requires adjustments in the political, economic, legal system, and cultural areas.

Source:China Review News, November 29, 2012