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Income doubling goal needs strategy (2)

By Fang Yunyu  (Global Times)

08:49, December 03, 2012

"I don't think any local government can achieve a target of doubling residential disposable income per capita within five years," Wang Yiming, vice president of the NDRC's Macroeconomic Research Institute, told the Global Times Sunday.

Wang noted that per capita income figures in some areas are relatively small, which makes the growth easier, "but the schedule is too tight, especially during the current economic slowdown."

China's economic growth hit a three-year low at 7.4 percent year-on-year in the third quarter of 2012, according to the National Bureau of Statistics in October.

Chen Naixing, a researcher with the Chinese Academy of Social Sciences, told the Global Times Sunday that in the current economic situation, the top priority should be to figure out how to boost the domestic economy.

"Detailed measures to stimulate economic growth should be planned first, and then we can talk about the pace," said Chen, noting that for now no solid policy has been announced on how to realize the income doubling target.

Both experts said they are hopeful about China's long-term economic growth, which can guarantee residential income growth in the long run.

"But reforms are urgently needed to clear the barriers for our country's economic growth," said Chen, noting as an example that urbanization, which can boost market demand, has encountered the hukou (household registration) system as an obstacle, as it blocks the migrant population from enjoying equal benefits in urban centers.

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