H. Annual per Capita Disposable Income of Urban Staff and Workers and Peasants

Annual disposable incomes have risen in the urban and rural areas. Between the years of 1957 to 1986, incomes for staff and workers have increased 351% while the peasant income has increased 581%. This indicates that the disparity between the rural and urban sectors is still there, but is decreasing. In later years the gap has been getting wider in ever increasing amounts each passing year. In 1957, the ratio of disposable incomes was 3 to 1 in favor of the urban and by 1986 it has been reduced to 2 to 1. Table V is shown in Chinese dollars. A Chinese dollar is about 5 to 1 U.S. but renminbi (people's money), is not convertible to hard currency. The Chinese people are paid with renminbi, and most financial dealings internally in China are done with this currency. Foreigners are required to buy Chinese dollars with their hard currency and are issued Chinese Yuan in Foreign Exchange Certificates (FEC). The Chinese must have FEC to purchase items from outside of China. FEC can be exchanged to hard currencies. Foreigners are not allowed to buy items with renminbi. Amounts given in Yuan.