ABSTRACT

This chapter discusses how governments coordinate the pluralistic distribution relationships and explores the adjustments of the distribution structure and the overall economic structure. National coordination should be introduced for its important role in safeguarding the distribution relationship and harmony, which is characterized by its subjects, fields and measures. The coordination of distribution relationships by governments reflects the concept of coordination which can be traced back to ancient China. As a matter of fact, there is a close connection between the idea of coordination and system theory, both of which emphasize the internal and external coherence of a system to determine the overall effectiveness of the system. Income distribution systems are formed through national coordination of the income distribution relationship. In promoting the reform of income distribution, China aims to: adjust the income distribution structure thus creating an open and fair institutional environment; and increase the income of urban and rural residents, narrowing the income gap and standardizing the distribution order.