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Relative deprivation RD, also known as relative poverty , an idea implicitly put forward by Adam Smith in The Wealth of Nations and formally conceptualized by Runciman 1966, refers to the discontent people feel when they compare their positions to others and realize that others in the group possess something that they do not have. RD is important to Chinese people as reflected in the traditional saying -it is better to be the head of a chicken than the tail of a phoenix-, indicating that taking a relatively good position benefits people in the Chinese society. RD is also a pressing issue for China after its three decade unprecedented economic growth accompanied by inequalities at historically high levels. This paper reviews key measures of RD and empirical findings for China. I also discuss some of the most pressing policy issues with regard to RD.

Item Type: MPRA Paper -

Original Title: Relative Deprivation in China-

English Title: Relative Deprivation in China-

Language: English-

Keywords: Relative Deprivation, Inequality, Poverty, China-

Subjects: B - History of Economic Thought, Methodology, and Heterodox Approaches > B4 - Economic MethodologyD - Microeconomics > D1 - Household Behavior and Family EconomicsD - Microeconomics > D3 - DistributionI - Health, Education, and Welfare > I1 - HealthI - Health, Education, and Welfare > I3 - Welfare, Well-Being, and PovertyO - Economic Development, Innovation, Technological Change, and Growth > O2 - Development Planning and Policy-

Autor: Chen, Xi


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