rural residents. In this paper we focus on China's household registration system, or "hukou", as a potential source of the …

Using new household survey data for 1995 and 2002, we investigate the size of China's urban-rural income gap, the gap …'s contribution to overall inequality in China, and the factors underlying the gap. Our analysis improves on past estimates by using a … substantially reduce China's urban-rural income gap and its contribution to inequality. Nevertheless, the gap remains large and has …