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Abstract and Applied Analysis
Volume 2014 (2014), Article ID 186564, 10 pages
http://dx.doi.org/10.1155/2014/186564
Research Article

An Analysis of Relationship among Income Inequality, Poverty, and Income Mobility, Based on Distribution Functions

1School of Public Finance and Taxation, Southwestern University of Finance and Economics, Chengdu 611130, China
2School of Statistics, Southwestern University of Finance and Economics, Chengdu 611130, China
3School of Economic and Mathematics, Southwestern University of Finance and Economics, Chengdu 611130, China

Received 8 July 2014; Revised 27 August 2014; Accepted 12 October 2014; Published 24 November 2014

Academic Editor: Josip E. Pečarić

Copyright © 2014 Jiandong Chen et al. This is an open access article distributed under the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.

Abstract

Many studies show that the relationship among income inequality, poverty, and income mobility needs to be further discussed. Meanwhile, some researches on Distribution Function offer new perspective and methods to analyze this issue. First, this paper expresses the relationship among the Gini coefficient, poverty ratio, and income mobility of 5 common Distribution Functions through math deduction; this finding cannot be found in relevant literatures. Furthermore, an empirical research result proves that the income distribution of urban residents in the period from 2005 to 2010 fits Log-Logistic Distribution. On the basis of the above analysis and empirical data, the paper explores the relations of income inequality, poverty, and income mobility of urban residents and draws some useful conclusions.