Analysis of types and changes of village-level economy in rural Gongyi city, Henan Province since 1990

Abstract

Based on the research on the rural living standard in China in terms of annual net income per capita, we define six types of village-level economy, i.e. “to be extremely poor”, “to make a basic living”, “to dress warmly and eat one’s fill”, “to try to enrich (to disengage poverty)”, “to be well-off” and “to be affluent”. The data of average annual net income of all the 292 villages between 1990 and 2004 in rural Gongyi City, Henan Province were collected, verified and classified. By using standard deviation, coefficient of variation and regression analysis, it is found that the Gongyi’s rural economy has boosted up remarkably from the relative-poverty and absolute-poverty stages in 1990 to the well-off in 2004. However, the absolute differences between villages present a trend of enlargement, while the relative differences fluctuating. On the other hand, spatial analysis of village-level economy shows that most villages with relatively high economic development level were located along national expressway and most villages with absolute-poverty lay in remote mountainous areas in 1990. Since the 1990s, the rapid urbanization and industrialization have had strongly positive effects on rural economic growth. Initial economic foundation, natural resources and traditional techniques also contribute to village economy. From the perspective of geography, villages with location advantages, such as near urban center or industrial parks, have more chances for their economic development and the “core-periphery” economic structure has been presented in the process of rural development.