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Case study: Development imbalances in China

Abstract: In preparation for the global report on the post-2015 development agenda, Save the Children (UK) has commissioned China to carry out case studies in development imbalances. By analyzing imbalances in income, assets, opportunities and public services, as well as many other disparities and their causes, the report recommends focusing on solving problems in opportunity equality, fair competition and basic social security.

The first part of the report reviews China’s development model in the past three decades. Early on, China’s absolute poverty rate was high, so poverty reduction took priority. The report states that the measures the Chinese government took to reduce poverty were very effective. Since then, the poverty rate has decreased substantially.

The second part summarizes the various inequalities in China, including gaps in family income, consumption, property and human capital. The influences of region and gender on these gaps are also discussed.

The next two parts separately analyze the impact of inequality on children's well-being and the root causes of inequality.

Although absolute poverty is still a big problem in China, especially in remote areas, dealing with inequality has become more urgent to China's national development. China has made significant progress in coping with direct causes of growing inequality.

The last part of the report suggests that China should extend its development strategy to deal with the fundamental issues that cause inequality of opportunity and results.