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Inequality and Intergenerational Mobility in China

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Inequality and Intergenerational Mobility
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Inequality and Intergenerational Mobility
Introduction
A study on a sample of the Chinese population in 1996 revealed a direct relationship between family background and occupational mobility (Cheung, 1998). The research found out that the people of China-dwelling in rural areas experienced downward mobility, whereas their educated counterparts in urban areas experienced upward mobility. Biased population registration is promoting inequality resulting from socialist norms and social fluidity; it was identified as the key player for the trend. Socialist ideologies and other forms of bad government also played a big role in accelerating the problem (Cheung, 1998). The pattern has not changed despite numerous efforts by the Chinese government to bridge the ever-widening inequality gaps (Cockain, 2012). Therefore, there arises the question of the extent to which a family background can affect the outcomes of both education and the labor market.
Research shows that family backgrounds and origins have contributed to inequalities that result in intergenerational mobility in socialist countries such as China. Equal opportunities in the labor market and education are important in promoting fairness for everybody, irrespective of their family origin. Thus, a thorough investigation into the matter is necessary as it will provide practical solutions and guidelines for achieving the equality.
Understanding Social Mobility
Social mobility refers to the movement of households, families, or individuals between or within social strata in society (Schug, Yuki, Horikawa, & Takemura, 2009). It refers to a change in social status as compared to the location of others in the societal structure. On the other hand, social integration mobility is the relationship between the social and economic status of a parent and the status which subsequent generations will achieve (Demchenko, 2011). China and other countries with similar political systems are characterized by inequalities in the distribution of resources and changes in social intergenerational mobility between urban and rural citizens with downward mobility being associated with rural former while upward mobility characterizes the latter. Unequal labor and education opportunities combined with registration systems that favor urban dwellers have been blamed for these trends. Inequalities in opportunities, family background differences, and regionalization have had severe impacts on social intergeneration mobility in China (Campbell & Lee, 2008). The situation calls for a comprehensive empirical investigation.
Background Information
Before 1978, education opportunities in China used to be equal for all in the society. Parents invested a lot in their children’s education and careers. However, changes in political systems led to inequalities in the acquisition of formal education. New government policies, ideologies, and legislations are believed to have contributed to the changes. For instance, the intergenerational job replacement and the internal recruitment system discouraged rural to urban migration, thereby forcing regionalization of generations in certain areas for many years (Chen, 2013). Socialism revolutions also weakened relationships between parents and their children; parents were no longer actively involved in the personal and professional developments of their offspring (Magnani & Zhu, 2015). All these factors are believed to have significantly reduced the intergenerational mobility.
Furthermore, in 1980, the economy of China shifted from a planned to market-oriented (Golley & Kong, 2013). Consequently, income and wealth increased sharply whereby family connections started playing an active part in the attainment of jobs. Families in urban areas could earn more than those located in rural areas could. Children in urban areas could get better education and employment opportunities as compared to their counterparts in rural settings. The inequality trend has been significantly increasing over the years (Gabrieli, 2012).
While the topic of intergenerational mobility has generated high interests over the years, very little is known about how inequalities in opportunities contribute to the problem. It is not clear how parental social and economic statuses affect offspring’s outcome in the labor market and education in China. The available data from previous studies is limiting as it focuses on entire communities rather than on family levels. In addition, the available data does not comprehensively compare the difference in intergenerational mobility between rural and urban dwellers.
Methodology
The data employed in the study was collected from research conducted by the China Nutrition and Health Organization between 1989 and 2006. The study was carried out in eight provinces of China and included filled questionnaires and direct interviews. It focused on over two thousand households that were randomly surveyed for data on social and economic factors. In order for the study to remain relevant to the study objectives, the data was limited to family levels. Researchers considered information on income, employment, and education.
Results
In urban coastal provinces, it was found that a high percentage of men and women in a family had a primary education level or lower. Such people worked in state-owned or government enterprises. Their children had at least attained a middle school education and were working in state-owned or government premises, earning a good income.
In rural inland provinces, the majority of parents and their children were uneducated and were employed in agricultural fields, mostly in rice fields. Inland rural areas depended on agriculture as the primary source of income. They also relied on mandatory apportionments and extraction of levies, both of which did not promote growth. The situation was unlike one observed in urban provinces that had a diverse economic structure and a revenue base that offered freedoms to expand.
Discussion
The difference in development between urban and rural areas in China cannot be underestimated. Additionally, education and employment opportunities differ significantly between people living in the two regions with the government favoring urban dwellers while neglecting rural residents (Gabrieli, 2012). The level of income depends on one’s occupation, something that has a direct implication on an individual’s lifestyle. It is clear that the development of a region is important in the creation of employment opportunities, and hence, there arises the need for the government to invest more resources in rural areas.
The resulting inequalities have had great impacts on intergenerational mobility because rural to urban migrations are few. People in rural areas tend to get regionalized in certain areas for each upcoming generation. Population registration policies and systems employed by the government are also biased and discourage such movements (Golley & Kong, 2013). Consequently, rural dwelling citizens remain poor, thereby experiencing downward social-intergenerational mobility for many years. On the contrary, people living in urban settings have countless opportunities and well-paying occupations. Such people can grow financially stable and undergo upward intergenerational mobility.
Parents, especially in rural areas, are not in a position to invest much in the education and careers of their children (Golley & Kong, 2013). Therefore, children in such areas are left with limited opportunities as compared to their counterparts in urban areas. However, children in rural areas can inherit land and other properties from their parents. The situation is entirely different in urban areas where parents can only offer quality education to their children. The trend has a led to differences in intergenerational mobility.
Close ties between children and their parents have also weakened over the years (Wing-Chung & Petrus, 2007). The result has been the hindrance in delivering economic and social benefits from one generation to the next. The situation has been worsened in rural areas where most parents do not appreciate the need to invest and take an active role in the development of their children in terms of education and career advancement. Therefore, rural children cannot compete with urban children in terms of opportunities.
Conclusion
The data collected, examined, and analyzed clearly point out to the fact that inequalities in regionalization, occupation, family origins, social capital, and education have a great impact on social intergenerational mobility. The results have been the creation of worrying social imbalance. Adverse government ideas, policies, and legislations have been the primary cause of this situation. In countries with vast inequalities, favored people tend to have more resources that they can use to better the education and careers of their children. There is, therefore, a dire need to put into place measures that will ensure equitable distribution of resources. Fiscal decentralization and rural marginalization need to be dealt with so as to provide a reliable solution to the problem not only in China but also in the entire world.

References
Campbell, C., & Lee, J. (2008). Kin networks, marriage, and social mobility in Late Imperial China. Social Science History, 32(2), 175-214. http://dx.doi.org/10.1215/01455532-2007-018
Chen, M. (2013). Intergenerational mobility in contemporary China. Chinese Sociological Review, 45(4), 29-53. http://dx.doi.org/10.2753/csa2162-0555450402
Cheung, H. (1998). Intergenerational mobility in a context of socio-institutional change. Shatin, New Territories, Hong Kong: Hong Kong Institute of Asia-Pacific Studies, the Chinese University of Hong Kong.
Cockain, A. (2012). Young Chinese in urban China. Hoboken: Taylor & Francis.
Demchenko, O. (2011). Social network and occupational mobility: A mathematical model. Social Science Quarterly, n/a-n/a. http://dx.doi.org/10.1111/j.1540-6237.2011.00806.x
Gabrieli, T. (2012). Inequality, intergenerational mobility and redistributive policies under endogenous information. The Journal of Economic Asymmetries, 9(1), 23-49. http://dx.doi.org/10.1016/j.jeca.2012.01.002
Golley, J., & Kong, S. (2013). Inequality in intergenerational mobility of education in China. China & World Economy, 21(2), 15-37. http://dx.doi.org/10.1111/j.1749-124x.2013.12013.x
Magnani, E., & Zhu, R. (2015). Social mobility and inequality in urban China: understanding the role of intergenerational transmission of education. Applied Economics, 47(43), 4590-4606. http://dx.doi.org/10.1080/00036846.2015.1031877
Schug, J., Yuki, M., Horikawa, H., & Takemura, K. (2009). Similarity attraction and selecting similar others: How cross-societal differences in relational mobility affect interpersonal similarity in Japan and the USA. Asian Journal of Social Psychology, 12(2), 95-103. http://dx.doi.org/10.1111/j.1467-839x.2009.01277.x
Wing-Chung, & Petrus, Y. (2007). Mobilizing Community Resources for Intergenerational Programming in Urban Communities in China. Journal of Intergenerational Relationships, 4(4), 23-41. http://dx.doi.org/10.1300/j194v04n04_03

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