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on China |
| By: | Cui, Yuling (Macquarie University, Sydney); Nahm, Daehoon (Macquarie University, Sydney); Tani, Massimiliano (Macquarie University, Sydney) |
| Abstract: | This paper estimates the returns to education of rural-urban migrants during the period of transition of China's economy between 1995 and 2008. Using data from CHIP and RUMiC, we find that rural migrants' earning differentials with urban residents are substantial and mainly depend on the type of occupation, industry, and employers' ownership, rather than the level of education completed. Returns to formal schooling for migrants remained stable at approximately 3% and 5% throughout the period, and differences across quantiles are generally statistically insignificant. Increasing gaps in the return to schooling by gender have instead emerged. These results raise questions about the incentives to invest in human capital for rural migrants and for the governments funding education in emigration regions. |
| Keywords: | returns to education, rural migrants, quantile regression, ownership enterprises, China, returns to schooling |
| JEL: | C31 J24 J61 O15 |
| Date: | 2013–04 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp7349&r=cna |
| By: | Katsushi S. Imai (Economics, School of Social Sciences, University of Manchester (UK) and RIEB, Kobe University (Japan)); Jing You (School of Agricultural Economics and Rural Development, Renmin University of China, China) |
| Abstract: | The objective of our study is to identify patterns and causes of households' transitions in and out of poverty using the long household panel data on rural China in the period 1989-2009. We propose a discrete-time multi-spell duration model that not only corrects for correlated unobserved heterogeneity across transitions and various destinations within the transition, but also addresses the endogeneity due to dynamic selection associated with household's livelihood strategies. Duration dependence is generally found to be negative for both poverty exit and entry. The household choosing either farming or out-migration as a main livelihood strategy was more likely to escape from the persistent poverty than those taking local non-agricultural employment. Overall, the present study emphasises the central role of agriculture in helping the chronically poor escape from poverty. |
| Keywords: | Poverty Transition, Discrete-time duration model, Correlated unobserved heterogeneity, Dynamic selection, Rural China |
| JEL: | C33 C41 I32 O15 |
| Date: | 2013–04 |
| URL: | http://d.repec.org/n?u=RePEc:kob:dpaper:dp2013-16&r=cna |