IDEAS home Printed from https://ideas.repec.org/a/ibn/assjnl/v19y2023i2p15.html
   My bibliography  Save this article

The Impact of Income Inequality on Health of Chinese Residents — Decomposition Based on Individual Effect and Macro Effect

Author

Listed:
  • Songtao Wang
  • Minqian Luo
  • Bin Li

Abstract

This paper reviews the mechanism of income inequality affecting residents' health, and proposes a new measurement method to decompose the micro mechanism and macro effect of income inequality affecting residents' health. Based on the provincial data onto 1990, 2000 and 2010, an empirical analysis using the multi-period mixed cross-sectional data (Pool Data) model shows that income inequality has a significant negative impact on health in China. The method constructed in this paper is used to decompose the contribution rate of macro effect and individual effect. The results show that the negative impact of macro effect accounts for 27.7%, while the impact of micro effect accounts for 72.3%. With the continuous improvement on GDP per capital in China, the impact of macro effect of income gaps between life expectancy is getting smaller and smaller. The macro effect contribution rate decreases year by year. Therefore, on the one hand, it is necessary to reduce income inequality, but also to take targeted measures to reduce the negative impact of income inequality on individual health.

Suggested Citation

  • Songtao Wang & Minqian Luo & Bin Li, 2023. "The Impact of Income Inequality on Health of Chinese Residents — Decomposition Based on Individual Effect and Macro Effect," Asian Social Science, Canadian Center of Science and Education, vol. 19(2), pages 1-15, April.
    • Handle: RePEc:ibn:assjnl:v:19:y:2023:i:2:p:15
    as

    Download full text from publisher

    File URL: https://ccsenet.org/journal/index.php/ass/article/download/0/0/48393/52072
    Download Restriction: no
    File URL: https://ccsenet.org/journal/index.php/ass/article/view/0/48393
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Li, Hongbin & Zhu, Yi, 2006. "Income, income inequality, and health: Evidence from China," Journal of Comparative Economics, Elsevier, vol. 34(4), pages 668-693, December.
    2. Pickett, Kate E. & Wilkinson, Richard G., 2015. "Income inequality and health: A causal review," Social Science & Medicine, Elsevier, vol. 128(C), pages 316-326.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Luo, Weixiang & Xie, Yu, 2020. "Economic growth, income inequality and life expectancy in China," Social Science & Medicine, Elsevier, vol. 256(C).
    2. Liu, Jian & Ren, Yanjun & Glauben, Thomas, 2021. "The effect of income inequality on nutritional outcomes: Evidence from rural China," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 22(3), pages 125-143.
    3. Xuejie Ding & Francesco C. Billari & Stuart Gietel-Basten, 2017. "Health of midlife and older adults in China: the role of regional economic development, inequality, and institutional setting," International Journal of Public Health, Springer;Swiss School of Public Health (SSPH+), vol. 62(8), pages 857-867, November.
    4. Jacqueline Chen Chen & Chenling Yu & Jianhua Zhu, 2024. "Gender Differences in Whether and How Perceived Inequality Hampers Self-Rated Health and Mental Health: Evidence from the Chinese General Social Survey and a Randomized Experiment in China," IJERPH, MDPI, vol. 21(12), pages 1-15, December.
    5. Swapnanil SenGupta, 2024. "Human Capital Impacts of Income Inequality: An Extensive Empirical Analysis from the African Continent," SAGE Open, , vol. 14(2), pages 21582440241, May.
    6. Bakkeli, Nan Zou, 2016. "Income inequality and health in China: A panel data analysis," Social Science & Medicine, Elsevier, vol. 157(C), pages 39-47.
    7. Jianfeng Yao and Fafanyo Asiseh, 2019. "An Economic Analysis of Household Income Inequality and BMI in China," Journal of Economic Development, Chung-Ang Unviersity, Department of Economics, vol. 44(1), pages 23-37, March.
    8. Oded Stark & Wiktor Budzinski, 2021. "A social‐psychological reconstruction of Amartya Sen’s measures of inequality and social welfare," Kyklos, Wiley Blackwell, vol. 74(4), pages 552-566, November.
    9. Xiaobao Li & Houchao Lyu, 2022. "Social Status and Subjective Well-Being in Chinese Adults: Mediating Effect of Future Time Perspective," Applied Research in Quality of Life, Springer;International Society for Quality-of-Life Studies, vol. 17(4), pages 2101-2116, August.
    10. Dyrstad, Karin & Halvorsen, Thomas & Hem, Karl-Gerhard & Rohde, Tarald, 2016. "Sick of waiting: Does waiting for elective treatment cause sickness absence?," Health Policy, Elsevier, vol. 120(12), pages 1383-1388.
    11. Vu, Trung V., 2020. "Economic complexity and health outcomes: A global perspective," Social Science & Medicine, Elsevier, vol. 265(C).
    12. Bijou, Christina & Colen, Cynthia G, 2022. "Shades of health: Skin color, ethnicity, and mental health among Black Americans," Social Science & Medicine, Elsevier, vol. 313(C).
    13. Ilaria Natali & Mathias Dewatripont & Victor Ginsburgh & Michel Goldman & Patrick Legros, 2023. "Prescription opioids and economic hardship in France," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 24(9), pages 1473-1504, December.
    14. Ofori, Isaac K. & Armah, Mark K. & Taale, Francis & Ofori, Pamela E., 2021. "Addressing the Severity and Intensity of Poverty in Sub-Saharan Africa: How Relevant is the ICT and Financial Development Pathway?," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, issue forthcomi.
    15. Ofori, Isaac K. & Osei, Dennis B. & Alagidede, Imhotep P., 2022. "Inclusive growth in Sub-Saharan Africa: Exploring the interaction between ICT diffusion and financial development," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 46(7).
    16. Gulati, Namrata & Ray, Tridip, 2016. "Inequality, neighbourhoods and welfare of the poor," Journal of Development Economics, Elsevier, vol. 122(C), pages 214-228.
    17. Keim, Jan & Müller, Susan & Dey, Pascal, 2024. "Whatever the problem, entrepreneurship is the solution! Confronting the panacea myth of entrepreneurship with structural injustice," Journal of Business Venturing Insights, Elsevier, vol. 21(C).
    18. Alexander Silbersdorff & Kai Sebastian Schneider, 2019. "Distributional Regression Techniques in Socioeconomic Research on the Inequality of Health with an Application on the Relationship between Mental Health and Income," IJERPH, MDPI, vol. 16(20), pages 1-28, October.
    19. Hardardottir, Hjördis & Gerdtham, Ulf-G. & Wengström, Erik, 2019. "What Kind of Inequality Do You Prefer? Evaluating Measures of Income and Health Inequality Using Choice Experiments," Working Papers 2019:7, Lund University, Department of Economics, revised 31 May 2019.
    20. Isaac K. Ofori & Mark K. Armah & Emmanuel E. Asmah, 2021. "Towards the Reversal of Poverty and Income Inequality Setbacks Due to COVID-19: The Role of Globalisation and Resource Allocation," Working Papers 21/043, European Xtramile Centre of African Studies (EXCAS).

    More about this item

    JEL classification:

    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • Z0 - Other Special Topics - - General

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ibn:assjnl:v:19:y:2023:i:2:p:15. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Canadian Center of Science and Education (email available below). General contact details of provider: https://edirc.repec.org/data/cepflch.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.