6th Edition of World Nursing Science Conference 2026

Abstract

China has eradicated absolute poverty post-2020, yet the susceptibility of Chinese households to multi-dimensional poverty persists. Utilizing the China Household Finance Survey (CHFS) 2015-2019 micro-panel data, this study initially employs the Vulnerability as Expected Poverty (VEP) model to quantify the vulnerability of Chinese households to income and health poverty. Subsequently, it introduces an intensity double-difference model to assess the efficacy of special additional deductions (SAD) in mitigating the susceptibility of Chinese households to income and health poverty, using the quasi-natural experiment of special additional deductions for personal income tax in 2018. The findings reveal that the SAD policy substantially diminishes the vulnerability of Chinese households to income and health poverty by reducing the tax burdens, thereby facilitating an enhancement in their income standards and consumption structures. Nonetheless, a quality effect emerges upon stratifying samples by access to public medical insurance and government subsidies. Moreover, this policy exhibits a more pronounced impact on households in central and western China compared to those in the eastern and northeastern regions. Consequently, we highlight the optimization of the income redistribution mechanism of individual income tax and the consideration of regional differentiation in special additional deductions. We emphasize the completion of the redistribution adjustment mechanism through taxation, social security, and transfer payments, aiming to fortify the government fiscal redistribution policy package’s effectiveness in achieving equity and reducing household vulnerability.