Development of extreme poverty

China remains a country where a large proportion of the population live in poverty. However, living in the People's Republic of China in 2005 over 600 million fewer people in extreme poverty than in 1981.

The success in the fight against poverty began with economic reforms in 1978 and 1981 to 2001 the proportion fell below the minimum population of 53 percent to 8 percent. Since the early 1980s it has in China, despite its high population rate and its climatically critical areas that no longer exist famines.

The success of poverty reduction was not uniform. The first half of this success has been in the first half of the 1980s reached. The Back To further poverty was no longer continuous, but there were setbacks, particularly in 1989 and in 2000.

When the reforms began, was exacerbated by policies that are still on the "cultural revolution" based in a great poverty of the population almost provoked. With the cancellation of orders, such as the collectivization of agriculture in the years 1981 to 1987 the proportion of the population in extreme poverty on a third. Between 1987 and 2001, it was possible to increase the proportion of less than the minimum population, with some setbacks, to halve again.The development of the proportion of the population is below the minimum subsistence living, are shown in the following table.

Explanation

The World Bank defines the minimum in China with an income to an annual income of 850 yuan for rural residents and 1200 yuan for urban residents in the prices of 2001. This is for 2007 an annual income of about 95 euros for the rural population and 135 euros for the city's population. This is less than the often used threshold of an income of one dollar per day.

It is worth noting the increase in poverty in 1989. There lived at that time almost a quarter of the Chinese people under the minimum subsistence. This was a major reason for the unrest in Beijing this year, with the Tian'anmen massacre ended. The price of new shares created poverty was reduced, as the table shows, only slowly eliminated. 1994 Still living with 17.0% of the population, a percentage expected to be more people below the subsistence minimum as the 1987th

Income gap between urban and rural populations

About the income gap between rural and urban populations, there are very different information. Officially, the ratio is 1:2.5, unofficially but is also a ratio of 1:5 is estimated.In any case, the worst poverty in China in the rural population. According to official figures, the income of rural dwellers in the first half of 2008 averaged 2,528 yuan, or around 40 euros per month.The following is the situation of the rural population a little more accurately.

Situation of farmers in the 90

While the Chinese in the city since the mid-1990s, a leap forward seen is the upswing in the population in the country largely passed. If the additional costs for the population of the "liberalization", as in medical care, with einrechnet, then earned the Chinese in the country in 2000 not more than 10 or 15 years ago. While the provinces on the coast with the dynamic urban centers developed, remained the rural provinces of the landlocked country in poverty, so they had to rebuild the economy in the cities on low fixed purchase prices for their products to finance. Since the late 80s to late 90s have been buying and selling prices for the food from the state decreased. Only by cheap food, the massive job losses in the old industries during the economic transformation in the'90s politically manageable.

Developments since the turn of the millennium

After the successes in the development of the industry had since the turn of the millennium, the situation of farmers in China's policy a higher priority and moved with the inauguration of Hu Jintao as president in 2003 at the center of China's internal affairs.Made possible by the economic growth the coastal regions, there is already significant improvements for the rural dwellers.

Curtailment of local taxes

With the tax reform of 2000, many charges of the farmers that were previously locally and often arbitrarily set were abolished, and the agricultural tax as the only added tax at the local level could also only be a supplement of up to 20% of the agricultural tax for local duties collected. This was officially with the slogan "a total and an extra" the farmers are presented. Through this reform, there was the first legal security for the rural population with regard to their tax burden.

Introduction of limited freedom of movement

In 2005, farmers from 11 of the 23 Chinese provinces, over 200 million people, are allowed to leave their village and in selected cities to be drawn. Until that time it was them, like all citizens from the rural population, is not allowed without a permit in the city reside. A gradual expansion of this movement is currently in the political discussion (see: discrimination against the country's population).The farmers can now also their products freely sell and no longer need their products to state-prescribed prices to the state for sale . This development was made possible by the development of infrastructure in China. For example, achieved by the new highways fruits of poor southern provinces now within two days, the rich coastal cities and can be marketed.However, until now the State of the purchasers of the overwhelming share of agricultural products.

Abolition of agricultural tax

Until 2006, there were between urban and rural areas, a different tax system. While in the city income tax under the income to pay was in the country a tax depending on the area of an establishment collected. The agricultural tax was abolished in 2006 and by the same income as in the cities replaced. Since the incomes of most farmers, however, only a fraction of the income of the townspeople, is the income of farmers usually below the minimum income for taxation. Most farmers therefore pay no income tax anymore. In addition there are direct subsidies from the government to the farmers, for example, fertilizers, and subsidies to the municipalities.

Rural dwellers come as migrant workers in cities

In China it is today a country residents are not allowed in a city without a permit settle. It has been made in recent years but more and more time-limited residence permits for workers from the rural population is issued. While it is 1994, still about 40 million of these so-called migrant workers there,has their number to be on 100 to 200 million, the estimates are very apart, increased.

The migrant workers usually earn still bad, but the average wages of migrant workers in recent years, from 2005 to 2007 were the low wages at 30 percent and are now at 5600 yuan (equivalent to 560 Euros) per year.The remittances of migrant workers to their families are becoming a major source of funding for the rural population has become. In 2007, a total of 62 billion euros from the cities to their family members to the country.For many farmers is the first time the possibility of money for the education of children to earn.At the beginning of 2008 joined the New employment law in force. Through this new labor law will apply to all 800 million workers in China, including all migrant workers, an employment contract, the statutory minimum standards, which relates to fixed wages, regulated working hours, health and pension insurance, compliance must be mandatory. However, it is against the law still often violated, and many migrant workers are still, however illegally, without coverage through an employment contract to work.

Main problem of farmers

All the improvements in detail is the main problem of Chinese farmers, however, only partially solved. There are in China for the available land for many farmers, and that is why most farmers have too little land to cultivate. In central China, a person on average only 10 Ar (1000 square meters) land available.The country of China's population is approximately 800 million people, for the management of the country but, even when using only simple means of just 100 million people needed.Unless industry in Central China is being built, the farmers remain poor. For the construction industry but it requires the establishment of appropriate infrastructure, particularly for the transport and energy, which in recent years will be pursued. 48% of all state investments in the year 2007 for the construction of rural infrastructure is used.The construction of infrastructure in central China, since 2005 under the development plan "Rise of Central China" together. Successes are already visible. Supported by the regular transport links to the booming coastal cities, the rural population earns already more than half their income is still low outside of agriculture.

Discrimination against the rural population

For years, the Chinese residents reporting (hukou) in the political debate. In this reporting system a person is the official attribute "city dwellers" or "country people" will be assigned. Under the terms of the reporting system should a "country dwellers" only in a city can, if he has a residence permit for the city gets. Will he permit this, then it remains by his marital status but still her "country people" and that he remains even more if it is already for years in a city lives and works. Many government services, particularly in social policy, such as medical care, welfare or permit the family to be joined, but only apply for the "urban," not for the "country people". To remain in the cities live "country dwellers", as their country on the living relatives of these benefits or freedoms are excluded, and second-class citizens. In emergencies the state will not help, but the "country people" are, to a normally well-functioning, solidarity with "relatives" from the home region dependent.

For years, the group fighting the Party Chairman and State President Hu Jintao for a modification of these provisions and, in principle, it is clear that the approximately 500 million people, either in recent years in the cities or in the next few years to duration in the cities will be established,not simply as the "rural population", as "temporary guest workers" and as second-class citizens must deal with.

Even today the situation is tense. For example, for the city of Shenzhen has a population of more than 10 million people. Which is only 1.5 million people as residents of Shenzhen. Three million people have a permanent right of residence, while over 5 million people as rural migrant workers with temporary and repeatedly renewed short term residence permits, valid. Many of these "migrant workers" but live many years in Shenzhen, they have in the country has no future and do not want to return, but they want their families to do in order in the city to build an existence, but it is forbidden to them.

There were some changes in the reporting population in 2005,but there is continued resistance of the rich coastal cities against major changes. They argue that they were not even capable of loosening the restrictions following the influx of people to join. Solid plans for ending the restrictions could therefore not be enforced. Current attempts to the provisions of the Register gradually and on a local basis to change. For example, there is for the District of Chongqing with 32 million inhabitants, a plan by 2020 for relaxation of restrictions for parades within the district.

General urges the Government to create opportunities that citizens who long periods of time living in a city and a fixed income, status as a "city dweller" can receive and it will be some disadvantages associated with the status of "country people" are related, be phased out.The beginning of the year 2008, which came into force new labor law is a step in this direction.