While it is increasingly recognized that shame is a pernicious component of the experience of poverty, the stigma generally associated with social assistance provision is less marked with respect to China's Minimum Living Security System, also known as dibao. This enigma is explored and illuminated drawing on two streams of indigenous Chinese scholarship and qualitative fieldwork in eight villages in Shanxi province. Economic and political changes prioritizing economic growth and individual wealth have increased the shame associated with poverty, manifest as loss of face, low mian (status) and lack of lian (integrity). However, this shame does not transfer to dibao because the scheme has been transformed locally into a universal age supplement that partially fulfils the demands of filial piety and which is seen to reflect and contribute to guanxi (social influence).

Taking China as a critical case, this article questions recent literature that asserts that shame attached to poverty is both ubiquitous and always problematic. In China, the concepts of shame, loss of face, lian (integrity) and mian (reputation) once provided an ethical framework under which the existence of poverty both indicated ineffective governance and provided individuals in poverty with opportunities to demonstrate virtuous behaviour in coping with life’s hardships. Maoist rhetoric went further presenting poor peasants as national heroes albeit the outcome of Maoist policies was often to hurt the most disadvantaged most. Subsequent marketisation has transformed poverty into a manifestation of personal failing with poverty-related shame having the same likely negative consequences as found elsewhere.