Attaining an olive-shaped society

Workable measures should be drafted to increase the size of the middle-income group by two percentage points each year

At the 18th National Congress of the Communist Party of China in November, a commitment was made to continuously expand the middle-income group. In February, the State Council issued a notice on deepening reform of the country's income distribution system to gradually form an olive-shaped income distribution structure as part of ongoing broader reforms.

At a time when the country faces contracted demand because of the global economic woes, the expansion of the middle-income group will help China tap its enormous consumption potential and boost its dampened domestic demand. At the same time, it will also facilitate the country's efforts to eradicate imbalances in its social structure, narrow the gap between the rich and poor, iron out ever-growing interest contradictions and promote social harmony and stability.