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Industrial restructuring and corporate income distribution gap

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  • Zhang, Gengquan
  • Liu, Xiaohan

Abstract

This study employs regression analysis to investigate the crucial role of industrial restructuring in reducing the income distribution gap within the enterprise. The findings show the following. First, adjusting the industrial structure has substantially increased the average wage levels for companies and their employees, particularly for rank-and-file workers, while exerting little influence on executive compensation. Second, industrial restructuring indirectly boosts the income growth of companies and their employees by fostering technological advancements, improving production efficiency, and expanding sales volume. Finally, the positive impact of industrial restructuring on corporate income distribution is more pronounced in state-owned enterprises and competitive sectors.

Suggested Citation

  • Zhang, Gengquan & Liu, Xiaohan, 2024. "Industrial restructuring and corporate income distribution gap," Finance Research Letters, Elsevier, vol. 67(PB).
    • Handle: RePEc:eee:finlet:v:67:y:2024:i:pb:s1544612324009267
    DOI: 10.1016/j.frl.2024.105896
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    References listed on IDEAS

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    More about this item

    Keywords

    Industrial restructuring; Corporate income distribution gap; Economic growth model; Total factor productivity;
    All these keywords.

    JEL classification:

    • H24 - Public Economics - - Taxation, Subsidies, and Revenue - - - Personal Income and Other Nonbusiness Taxes and Subsidies
    • H21 - Public Economics - - Taxation, Subsidies, and Revenue - - - Efficiency; Optimal Taxation
    • H25 - Public Economics - - Taxation, Subsidies, and Revenue - - - Business Taxes and Subsidies
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
    • J48 - Labor and Demographic Economics - - Particular Labor Markets - - - Particular Labor Markets; Public Policy

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