Urban-Rural Divide and Policy Orientation: Peasants Flowing into Cities vs Capital Flowing Down to Rural Areas

IntroductionThe prolonged pursuit of a macroeconomic policy biased toward cities and industrial sectors has enlarged the differences between urban and rural areas. This is expressed in the gap in investment, which results in the gap in output, income, consumption and education. Such a wide gap has cut off the flow of goods and capital between the urban and rural markets, depriving agriculture and rural areas of their self-development capabilities. Peasants have