The Welfare Effects of Carbon Tax on Chinese Households: A Study Based on the 2013 Chip Survey Data

Author(s):  
LI Xuehui ◽  
LI Zhi ◽  
WANG Zhengxin

Based on the micro-data from the 2013 Chinese Household Income Project (CHIP) Survey, the authors use a Quadratic Almost Ideal Demand System (QUAIDS) model to simulate and measure the impacts on the welfare of urban and rural households with different incomes after a carbon tax at 50[Formula: see text]RMB/ton was levied in China. The results show that the collection of carbon tax will increase households’ consumer spending to varying degrees. In urban areas, the carbon tax exerts the greatest impact on low-income households, followed by high-income households; while in rural areas, it has the most significant effects on high-income households and the least on low-income households. On the whole, carbon tax’s impact on urban households is greater than that on rural households. To a certain extent, it can help the household income inequality change for the better and narrow the urban–rural income gap. Since the carbon tax does not act on the distribution of Chinese household income in a simply regressive or progressive way, the authors believe that China should implement supporting policies such as tax subsidies or tax refund as supplements to carbon taxation in an effort to establish a mechanism for cyclic utilization of carbon tax revenue.

Author(s):  
Nozomu Inoue ◽  
Shigeru Matsumoto ◽  
Minoru Morita

Abstract Although Japan’s current carbon tax rate is much lower than the rates applied in European countries, the Japanese government may increase the tax rate in the near future, in order to strengthen measures to combat global warming. Since a country’s carbon-pricing policy does not distort its economy, it is considered to be an efficient policy measure. However, the burden of carbon pricing varies across regions and across households. Since low-income households generally allocate a larger proportion of their disposable income to energy costs than high-income households, the burden of carbon taxes on low-income households tends to be higher than for high-income households. In addition, households in cold regions spend more money for space heating, and those in rural areas spend more money for gasoline. Unless the government objectively analyzes the impact of carbon pricing and proposes convincing countermeasures to deal with these unequal impacts, the government is unlikely to obtain public support for a carbon tax increase. In this study, we analyze microlevel data from the Japanese National Survey of Family Income and Expenditure (NSFE) collected from 1989 to 2014, and examine how past energy price changes affected the welfare of different types of households. We then propose countermeasures to address the problems arising from the regressive nature of taxing energy use.


Agro Ekonomi ◽  
2006 ◽  
Vol 13 (2) ◽  
Author(s):  
Meliyanah Meliyanah ◽  
Suhatmini Hardyastuti ◽  
Djuwari Djuwari

This research diamed to: 1) knowing the selft-price elasticity, cross-price elasticity and income elasticity of consumption per food item on household level according to location and income level; and 2) knowing the reation between level of income and food consumption on household level according to location and income level.This research used data from SUSENAS of Lmapung Province in 2002 with number of sample of 2091 household, which being differed between rural and urban areas based on low, middle, and high level of income. The data analysis used tobit model and sensored regression.The result showed that: 1) the demand of rice and beeh for household consumption in every level of income in rural and urban areas were inelastic; 2) Coen only been consumed by low income level household in rural areas and the demand was inelastic; 3) the demand of cassava for household consumption on low income level in urban area was elastic, While in middle income level, high income level and every level of income in rural area, cassava demand was inelastic. Cassava was considered as inferior goods; 4) The demand of fish for household consumption an every level of income in rural and urban areas was elastic. Household in rural area on every level of income and in urban areas on middle and high income level consider fish as a main necessity. While on low income level  household in urban areas, it was considered as classy/exclusive good; 5) the demand of chicken; for household in rural areas on middle and high income level was inelastic. When in rural low income level and urban middle and high income level, was inelastic chicken meat was considend as classy/exclusive good the rural low income level household; 6) egg demand for household consumption in rural areas on every level of income was inelastic, while in urban area it was elastic for every level income; 7) the rural and urban household on every level of income considered rice as the stpale food; 8) Household in rural and urban areas on middle and high level of income considered beef as main necessity; 9) On household with middle income level in rural areas, egg was considere as inferior good; while an low income level in urban areas, egg was considere as expensive good.


Author(s):  
Paul A Zarkowski ◽  
Alex R Van-Den-Ende ◽  
Jacob A Groen

Objective Goals were to determine the prevalence of concurrent prescription of amphetamine and alprazolam, and examine variation by socioeconomic factors. Methods Washington State’s Prescription Monitoring Program was reviewed for calendar years 2013 through 2017. Individuals receiving more than 180 days of amphetamine, alprazolam or both were tabulated for each zip code. Prescription rates were compared between zip codes with variation in rural/urban setting and fraction of low and high income households using a multiple regression. Results One in 3920 individuals in the general population of Washington State were taking a combination of alprazolam and amphetamine. The statewide prevalence of this combination increased 40.2% between 2013 and 2017. The prevalence of the combination in each zip code is significantly positively correlated with the fraction of high income households, p < 0.001, and urban area, p < 0.05. In contrast, the prevalence of amphetamine increased with both the fraction of high income, p < 0.001, and low income households, p < 0.01, with an incremental increase over twice as large with fraction of high income (b = 232 (25)) than low income households (b = 102 (38)). In contrast, alprazolam decreased in prevalence with the fraction of high income households, p < 0.05. Conclusions The prevalence of concurrent prescription of alprazolam and amphetamine correlates with local socioeconomic factors, including greater household income, instead of the prevalence of FDA indications, including anxiety disorders or ADHD. More clinical studies are required to establish efficacy and guidelines for safe use to mitigate the increased risk of accidents in patients taking concurrent amphetamine and alprazolam.


Author(s):  
Liangwen Zhang ◽  
Yanbing Zeng ◽  
Lixia Wang ◽  
Ya Fang

Background: Long-term care (LTC) needs for the elderly have become increasingly crucial policy concerns in rapidly aging Asia, especially in China, the most populous nation. However, very few studies have examined the cohort differences in terms of their existing and expected utilization of LTC services, above all urban–rural differences. This study aims to evaluate the differences of LTC current status and needs between urban–rural areas and age groups, and to identify influencing factors causing the different LTC needs. Methods: The data come from the Chinese Longitudinal Health Longevity Survey in 2014. A total of 7192 home-based elderly aged ≥65 years by multistage sampling were enrolled. The Andersen Model was applied to categorize the influential factors into three components including predisposing, enabling and needs. Multivariate logistic regression analysis was used to analyze the influential factors of the three levels of LTC needs. Results: A total of 6909 valid sample sizes were included in this study. The overall LTC needs of the elderly showed a rapidly increasing trend among which older people had the highest needs for bathing (27.29%) and toileting (15.8%). It was also demonstrated the aged cohort between urban and rural exerted an impact on all aspects of LTC status and needs to varying degrees (p < 0.05). Compared with urban areas, the LTC needs for the elderly in rural areas was more vigorous, but the supply was seriously inadequate. The elderly who were older, living in rural areas, unmarried, non-farming, with low income, in poor health and having less autonomy had higher anticipated needs for LTC services (OR > 1, p < 0.01). Compared with the young-old in rural areas, the young-old in urban areas were prone to live alone (OR = 1.61, p < 0.01). The elderly who were older, living in rural areas, farming, with low income, lonely and depressed had higher anticipated needs for community-based services (1 < OR < 1.69, p < 0.05). Conclusions: The aged cohort in urban–rural distinction were facing an increasing need for immediate care due to the inadequate support being provided, especially among rural elderly. The oldest elderly in rural areas had higher LTC needs, and different levels of needs were affected by age, economic level, family support, health status and other related effects. This study provides evidence-based recommendation for further improving the construction and development of the LTC system in China.


Land ◽  
2021 ◽  
Vol 10 (8) ◽  
pp. 781
Author(s):  
Congjia Huo ◽  
Lingming Chen

With the continued development of the economy, the income gap among Chinese rural households continues to widen. The land system plays a decisive role in developing “agriculture, rural areas and farmers” and land circulation is a factor in the increase in income inequality among farm households. Based on the 2013 China Household Income Project (CHIP), this article used the re-centered influence function (RIF) regression method to empirically test the impact of rural land circulation on the income gap of rural households in China in three regions: the central, eastern and western regions. The quantile regression tested the impact mechanism of income inequality of rural households from the perspective of labor mobility and land circulation. The empirical results showed that land circulation increases the income inequality of rural households. The theoretical mechanism test proved that the dynamic relationship between land circulation and labor mobility increases rural household income. However, this increase has a greater effect on rural households with a high income and a small effect on rural households with a low income, resulting in a further widening of the income gap. Therefore, while increasing the income of rural households through land circulation, the government should also consider income equity. Finally, this article puts forward the policies and opinions on land reform and provides a brief discussion on the future direction of development.


2020 ◽  
Vol 36 (4) ◽  
pp. 963-968
Author(s):  
Abdorahim Ira ◽  
Mostafa Farrokhfal ◽  
Zohreh Mali

High food inflation rate in Iran in recent years places many low-income households at risk of malnutrition. Since food security and nutrition are essential dimensions of the Sustainable Development Goals (SDGs), this paper aims to create a reliable measure of food security in Iran among different income decile groups and urban and rural areas. The paper also attempts for the first time, to extract health-related indicators from the consumer price index (CPI) and the Household Income and Expenditure (HIES) surveys historically conducted by the Statistical Center of Iran (SCI). This study reaggregates CPI price data to calculate the nutritious food price index (NPI) for urban and rural households in Iran. Moreover, the “Cost of a Recommended Diet (CoRD)” method is used to measure the trends and spatial variations in the costs of nutrition. The paper presents the results of using the CoRD method for regional levels and decile income groups. Results show that the cost of a healthy diet increased in recent years. Likewise, the healthy food price index is higher than the overall food price index. Finally, the results indicate that the NPIs in urban areas are higher than in rural areas.


2020 ◽  
Author(s):  
Xianzhi Fu ◽  
Qi-wei Sun ◽  
Chang-qing Sun ◽  
Fei Xu ◽  
Jun-jian He

Abstract Background: The prevalence of chronic non-communicable diseases (NCDs) challenges the Chinese health system reform. Little is known for the differences in catastrophic health expenditure (CHE) between urban and rural households with NCD patients. This study aims to measure the differences above and quantify the contribution of each variable in explaining the urban-rural differences.Methods: The second and the fourth waves of the China Family Panel Studies (CFPS) data, conducted in 2012 and 2016, were employed in this cross-sectional study. The techniques of Fairlie nonlinear decomposition and Blinder-Oaxaca decomposition were employed to measure the contribution of each independent variable to the urban-rural differences.Results: The CHE incidence and intensity of households with NCD patients were significantly higher in rural areas than in urban areas. The explained disparity of CHE incidence increased from 3.15% in 2012 to 27.04% in 2016, and the corresponding values of CHE intensity rose from 21.30% in 2012 to 53.37% in 2016. The major contribution to the urban-rural differences in CHE was associated with household economic status, education level, health status and supplementary medical insurance (SMI).Conclusions: Compared with urban households with NCD patients, rural households with NCD patients have higher risk of incurring CHE and heavier economic burden of diseases. Policy interventions should give priority to decreasing the urban-rural disparity in observable characteristics.


2016 ◽  
Vol 43 (12) ◽  
pp. 1300-1314 ◽  
Author(s):  
Maneka Savithri Jayasinghe ◽  
Christine Smith ◽  
Andreas Chai ◽  
Shyama Ratnasiri

Purpose The purpose of this paper is to test whether household preferences satisfy the assumption of base-independence, to examine the effects of household income on equivalence scales and thereby food consumption economies of scale and to examine how far conventional poverty rates require adjustment when scale economies in food consumption are taken into consideration. Design/methodology/approach To achieve these aims, the authors use a Pendakur (1999) adaptation of the test of base-independence, and income dependent Engel (1895) equivalence scales. Findings In Sri Lanka, the hypothesis of base-independence is rejected: the equivalence scales increase with household income both at the national and the sectoral level, that is urban, rural and estate sectors. This suggests that low-income households enjoy greater scale economies. After adjusting for scale economies, urban, rural and estate poverty headcount ratios decline by 3.2, 8.8 and 13.7, respectively, while at the national level the decline is about 8.3. Research limitations/implications The results are based on the assumption that all of the adults in the households have identical tastes, irrespective of their gender and age. Furthermore, the survey data exclude three districts in the northern province of Sri Lanka due to resettlement activities took place after the civil war. Practical implications Higher scale economies among the poor imply that poverty among low-income households is overstated when using traditional measures of poverty rates. Originality/value The novelty of this paper is that it provides insights on the effect of income on food consumption economies of scale and implications of this phenomenon on poverty estimates in the context of a developing country like Sri Lanka.


Agrociencia ◽  
2021 ◽  
Vol 55 (7) ◽  
pp. 627-643
Author(s):  
Roberto Gallardo Del Ángel ◽  
Mario Miguel Ojeda Ramírez ◽  
Cecilia Cruz López

Despite the efforts to reduce poverty in rural municipalities income inequality persists in Mexico. This study presents an analysis on rural household income distribution in the country, since it is argued that conditional federal transfers fail on improving income distribution among rural households. The hypothesis stated that, because of local public goods are also part of individual budget constraints, it is rational to think that an expansion in the provision of local public goods will increase total income and, if such public goods are financed with conditional grants that target low-income groups, it is expected that income inequality may decrease. Thus, the objective was to classify rural municipalities in order to observe which among them have benefited from federal grants and those that did not, finding the reasons why assuming grants are accepted as an instrument contributing to reduce poverty and income inequality in recent years. Each group was analysed as a cluster to observe the effect of federal transfers on rural household income distribution. Main results showed that municipalities with rural low income-inequality and better economic development indicators improve income distribution when obtaining unconditional grants. This means that, in such cases, those transfers designed to reduce poverty also reduce rural income inequality. But that was not the case for the high income-inequality groups, where conditional grants did not have any effect on inequality and, in some cases, inequality increased. For the rural high income-inequality group, unconditional grants showed not to have a positive effect on reducing inequality. The clustering and regression analyses revealed large heterogeneity in the rural areas in terms of income and economic development.


2020 ◽  
Author(s):  
Xian-zhi Fu ◽  
Qi-wei Sun ◽  
Chang-qing Sun ◽  
Fei Xu ◽  
Jun-jian He

Abstract BackgroundThe prevalence of chronic non-communicable diseases (NCDs) challenges the Chinese health system reform. Little is known for the differences in catastrophic health expenditure (CHE) between urban and rural households with NCD patients. This study aims to measure the differences above and quantify the contribution of each variable in explaining the urban-rural differences.MethodsThe second and the fourth waves of the China Family Panel Studies (CFPS) data, conducted in 2012 and 2016, were employed in this cross-sectional study. The techniques of Fairlie nonlinear decomposition and Blinder-Oaxaca decomposition were employed to measure the contribution of each independent variable to the urban-rural differences.ResultsThe CHE incidence and intensity of households with NCD patients were significantly higher in rural areas than in urban areas. The explained disparity of CHE incidence increased from 3.15% in 2012 to 27.04% in 2016, and the corresponding values of CHE intensity rose from 21.30% in 2012 to 53.37% in 2016. The major contribution to the urban-rural differences in CHE was associated with household economic status, education level, health status and supplementary medical insurance (SMI).ConclusionsCompared with urban households with NCD patients, rural households with NCD patients have higher risk of incurring CHE and heavier economic burden of diseases. Policy interventions should give priority to decreasing the urban-rural disparity in observable characteristics mentioned above.


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