On How to Advance the Reform of Income Distribution System in Building a Harmonious Society

To change the current situation of the income gaps between urban-rural areas and between regions, the paces of structural adjustment of the income distribution must be speeded up. The order of income distribution must be further standardized; the mechanism for primary income distribution must be perfected; the proportion of income that the individuals receive from the distribution of national income that goes to wages and salaries must be increased; and a sound mechanism for income redistribution must be established. The financial, tax and other legal and administrative leverage means must be made to regulate excessively high incomes, resolutely ban illegal income, and increase transfer payments.