China’s personal income tax is so unfair that it exacerbates income inequality and social injustice
Even if an SOE is an economic failure, its leaders face no real consequences, as many of them are given posts at non-SOE government agencies. Equally, there’s no benefit for them if a SOE runs very well.
As clean air and a clean environment have become new aspirations for the public, it is time for the government to rethink and reform its fundamental approach to growth.
The unfair tax burden on the middle class is not only a major obstacle to the government’s efforts to boost domestic consumption, but has also limited the expansion of the middle class, which is considered the backbone of the country’s social stability and prosperity
The problems might be local, but they have national roots, such as the institutional barriers that keep migrants from accessing family services where they work, and the poor education and social welfare systems in China’s vast countryside.
By expanding the FTZs to inland and less-developed provinces, where the level of local governance has lagged behind the prosperous coastal region, it could propel the deepening of regulatory reform in these regions, thus providing new sources for growth.