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Agricultural Technology Sluggish, Agricultural Price Rising and Urban-rural Income Gap
LIU Zhi-qiang1,2
1.School of Economics, Southwest University of Political Science and Law, Chongqing 401120, China; 2.College of Economics and Management, Southwest University, Chongqing 400715, China
Abstract Agricultural price rising can exert a complex influence on urban-rural income gap. This paper tests whether agricultural price rising narrows urban-rural income gap, which adopts 2003-2010 provincial panel data with Feasible Generalized Least Squares. The empirical results show that agricultural price rising has U-shape effect on urban-rural income gap. In?other words,?there is threshold effect of agricultural price rising on urban-rural income gap. In addition, if agricultural technology sluggish caused China’s agricultural price rising, it will have a stronger effect on divergence of urban- rural income difference. In order to narrow Urban-rural income gap, governments should improve agricultural technology quickly.
2014, Vol. 31 
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