Abstract:
Based on the concept of the Kuznets Curve, this paper analyzes the three-meta structure among central government, local government and market, and the interchange influence. The empirical studies show that China's overall income inequality will pass the turning point of the Kuznets Curve in next ten years. Furthermore, the central government is making effort to shorten the income gap, while local government's impact to income gap is uncertain, and marketization widens the income gap.