The question whether redistribution of income policy can match efficiency with fairness has been arguing for a long time. The answer to this question not only has profound theoretical signif- icance, but also has important policy implication. This thesis discussed the question by constructing a formal theoretical model, and obtained a key conclusion that the redistribution policy could match effi- ciency with fairness under some conditions, but failed under other conductions. The conclusion impli- cates that if redistribution of income policy are designed reasonably according to the economic development level, the goal of matching efficiency with fairness can be achieved, otherwise, the policy will impede economic growth.
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