Canonical Correlation Analysis Applied to Examine Urban-Rural Income Gap and Related Influencing Factors

摘要

At the present time, urban-rural income gap in China is too large, which seriously hampered the development of a harmonious socialist society. In this paper, canonical correlation analysis is applied to do quantitative analysis of the influencing factors related to urban -rural income gap, and then arrive at the following conclusion: the highest degree of correlation to the urban -rural income gap is the average years received by rural labors, following by the rate of urbanization and the ratio of government expenditure for agriculture to total government expenditure, the lowest correlation is price rate of industrial products to agricultural products.