China’s ‘Mr. Income Distribution’ Explains Common Prosperity
- Taxation should play a bigger role in adjusting income: Li
- Property tax best to be rolled out when economy booms, he says
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China’s push for “common prosperity” is not just about taxing the rich but also directing resources into rural areas and the lower-income group, according to one of the country’s most prominent experts studying income inequality.
The income gap has widened in the country over the past five years due to the rise of technology and financial sectors, and taxation has done little in narrowing the gap, said Li Shi, an economics professor at Zhejiang University, who has previously advised the government on poverty alleviation. He’s known in international academic circles as “Mr. Chinese income distribution” because of his work, according to the university’s website.