nep-cna New Economics Papers
on China
Issue of 2015‒04‒02
twenty-two papers chosen by
Zheng Fang
Ohio State University

  1. Severe Air Pollution and Labor Productivity By Li, Teng; Liu, Haoming; Salvo, Alberto
  2. Migration Externalities in Chinese Cities By Combes, Pierre-Philippe; Démurger, Sylvie; Li, Shi
  3. The Great Proletarian Cultural Revolution, Disruptions to Education, and the Returns to Schooling in Urban China By Giles, John T.; Park, Albert; Wang, Meiyan
  4. Regional Variation of the Minimum Wages in China By Xing, Chunbing; Xu, Jianwei
  5. The Returns to Schooling in Rural China: Evidence from the Cultural Revolution Education Expansion By Terry Sicular; Juan Yang
  6. Long Work Hours and Health in China By Nie, Peng; Otterbach, Steffen; Sousa-Poza, Alfonso
  7. Carbon Pricing and Electricity Market Reforms in China By Jin Fan; Dingtao Zhao; Yanrui Wu; Jiuchang Wei
  8. Analysis on the Life-and-death Attitude of Nursing Bachelor Students from Macao and Mainland China By YAN WANG;
  9. What Measures Chinese Monetary Policy? By Rongrong Sun
  10. Reaction of the Inhabitants to Grazing Ban : Case Study of Alashan, Inner Mongolia, China By Masumi Kikuchi
  11. Promises and pitfalls in environmentally extended input-output analysis for China: a survey of the literature By Hawkins, Jacob; Ma, Chunbo; Schilizzi, Steven; Zhang, Fan
  12. When does the turning point in China's CO2 emissions occur? Results based on the Green Solow Model By Yu Hao; Yi-Ming Wei
  13. Meta-Analysis of Chinese Business Cycle Correlation By Jarko Fidrmuc; Iikka Korhonen
  14. Independent Directors and Corporate Performance in China: a Meta-Empirical Study By Wenge Wang
  15. Inside the Virtuous Cycle between Productivity, Profitability, Investment and Corporate Growth: An Anatomy of China Industrialization By Xiaodan Yu; Giovanni Dosi; Marco Grazzi; Jiasu Lei
  16. Has the development of FDI and foreign trade contributed to China's CO2 emissions? An empirical study with provincial panel data By Yu Hao; Yi-Ming Liu
  17. The Effects of Macroeconomic Shocks on the Distribution of Provincial Output in China: Estimates from a Restricted VAR Model By Anping Chen; Nicolaas Groenewold
  18. Four system boundaries for carbon accounts By Zhu Liu; Kuishuang Feng; Klaus Hubacek; Sai Liang; Anadon, Laura Diaz; Chao Zhang; Dabo Guan
  19.  Spatial heterogeneity and transboundary pollution: a contingent valuation study on the Xijiang River drainage basin in south China  By Jie He; Anping Huang;  Luodan Xu
  20. Does ownership affect the impact of taxes on firm behaviour? Evidence from China By Clemens Fuest; Li Liu
  21. Energy poverty in China: An index based comprehensive evaluation By Ke Wang; Ya-Xuan Wang; Kang Li; Yi-Ming Wei
  22. Human Security in Practice: The Chinese Experience By Xiao, Ren

  1. By: Li, Teng (National University of Singapore); Liu, Haoming (National University of Singapore); Salvo, Alberto (National University of Singapore)
    Abstract: We examine day-to-day fluctuations in worker-level output over 15 months for a panel of 98 manufacturing workers at a plant located in an industrial city in Hebei province, north China. Long-term workers earn piece-rate wages, with no base pay or minimum pay, for homogeneous tasks performed over fixed 8-hour shifts. Over the sample period, ambient fine-particle (PM2.5) mass concentrations measured at an outdoor air monitor located 2 km from the plant ranged between 10 and 773 micrograms per cubic meter (µg/m3, 8-hour means), variation that is an order of magnitude larger than what is observed in the rich world today. We document large reductions in productivity, of the order of 15%, over the first 200 µg/m3 rise in PM2.5 concentrations, with the drop leveling off for further increases in fine-particle pollution. A back-of-the-envelope calculation suggests that labor productivity across 190 Chinese cities could rise by on average 4% per year were the distributions of hourly PM2.5 truncated at 25 µg/m3. We also find reduced product quality as pollution rises. Our model allows for selection into work attendance, though we do not find particle pollution to be a meaningful determinant of non-attendance, which is very low in our labor setting. Subsequent research should verify the external validity of our findings.
    Keywords: air pollution, labor productivity, labor supply, PM2.5, environmental damage
    JEL: J24 Q52
    Date: 2015–03
    URL: http://d.repec.org/n?u=RePEc:iza:izadps:dp8916&r=cna
  2. By: Combes, Pierre-Philippe (GREQAM, University of Aix-Marseille); Démurger, Sylvie (CNRS, GATE); Li, Shi (Beijing Normal University)
    Abstract: We analyse the impact of internal migration in China on natives' labour market outcomes. We find evidence of a large positive correlation of the city share of migrants with natives' wages. Using different sets of control variables and instruments suggests that the effect is causal. The large total migrant impact (+10% when one moves from the first to the third quartile of the migrant variable distribution) arises from gains due to complementarity with natives in the production function (+6.4%), and from gains due to agglomeration economies (+3.3%). Finally, we find some evidence of a stronger effect for skilled natives than for unskilled, as expected from theory. Overall, our findings support large nominal wage gains that can be expected from further migration and urbanisation in China.
    Keywords: migration, urban development, agglomeration economies, wage disparities, China
    JEL: O18 J61 R23 J31 O53
    Date: 2015–03
    URL: http://d.repec.org/n?u=RePEc:iza:izadps:dp8923&r=cna
  3. By: Giles, John T. (World Bank); Park, Albert (Hong Kong University of Science & Technology); Wang, Meiyan (Chinese Academy of Social Sciences)
    Abstract: This paper provides new evidence on educational disruptions caused by the Cultural Revolution and identifies the returns to schooling in urban China by exploiting individual-level variation in the effects of city-wide disruptions to education. The return to college is estimated at 49.8% using a conventional Mincer-type specification and averages 37.1% using supply shocks as instruments and controlling for proxies for ability and school quality, suggesting that high-ability students select into higher education. Additional tests show that the results are unlikely to be driven by sample selection bias associated with migration or alternative pathways through which the Cultural Revolution influenced adult productivity.
    Keywords: returns to schooling, wages, education, China
    JEL: I20 J24 J30 O15 O53
    Date: 2015–03
    URL: http://d.repec.org/n?u=RePEc:iza:izadps:dp8930&r=cna
  4. By: Xing, Chunbing (Beijing Normal University); Xu, Jianwei (Beijing Normal University)
    Abstract: This paper analyzes the regional variation of minimum wage in China. We first introduce the institutional background of China's minimum wage policy, and then describe the regional variation of the minimum wages using detailed minimum wage data since the late 1990s. Large regional variation exists in the period studied, and the regional variation has been declining since the late 1990s. Economic factors, including GDP, economic structure, consumption level, are the main determinants for the large regional variation in the minimum wages. There is weak evidence suggesting that the regional variation is influenced by political factors, such as competition of local officials.
    Keywords: minimum wage, regional variation, China
    JEL: J3 E2
    Date: 2015–03
    URL: http://d.repec.org/n?u=RePEc:iza:izadps:dp8931&r=cna
  5. By: Terry Sicular (University of Western Ontario); Juan Yang (Beijing Normal University)
    Abstract: During the Cultural Revolution China embarked on a remarkable, albeit temporary, expansion of post-primary education in rural areas. This education expansion affected tens of millions of children who reached secondary school age in the late 1960s and 1970s. Exploiting the education expansion and variation across birth cohorts, we estimate the returns to schooling in rural China using household survey data from the mid-1990s. Our estimated returns of 11 to 20 percent are substantially higher than most previous estimates. We calculate the impact of the education expansion on subsequent labor market outcomes of the affected cohorts and find that they enjoyed significantly higher earnings than pre- and post-expansion cohorts. ;eywords: Education Expansion; Secondary Education; Returns to Schooling; Rural China; Cultural Revolution
    JEL: I21 I28 J24 J31 O15
    Date: 2015
    URL: http://d.repec.org/n?u=RePEc:uwo:hcuwoc:20152&r=cna
  6. By: Nie, Peng (University of Hohenheim); Otterbach, Steffen (University of Hohenheim); Sousa-Poza, Alfonso (University of Hohenheim)
    Abstract: Using several waves of the China Health and Nutrition Survey (CHNS), this study analyzes the effect of long work hours on health and lifestyles in a sample of 18- to 65-year-old Chinese workers. Although working long hours does significantly increase the probabilities of high blood pressure and poorer reported health, the effects are small. Also small are the negative effects of long work hours on sleep time, fat intake, and the probabilities of sports participation or watching TV. We find no positive association between work time and different measures of obesity and no evidence of any association with calorie intake, food preparation and cooking time, or the sedentary activities of reading, writing, or drawing. In general, after controlling for a rich set of covariates and unobserved individual heterogeneity, we find little evidence that long work hours affect either the health or lifestyles of Chinese workers.
    Keywords: long work hours, health, lifestyle, China
    JEL: I10 I12 J22 J81
    Date: 2015–03
    URL: http://d.repec.org/n?u=RePEc:iza:izadps:dp8911&r=cna
  7. By: Jin Fan (School of Management, University of Science and Technology of China); Dingtao Zhao (School of Management, University of Science and Technology of China); Yanrui Wu (University of Western Australia); Jiuchang Wei (School of Management, University of Science and Technology of China)
    Abstract: As a large emerging economy, China is exploring to establish a carbon pricing system to mitigate greenhouse gas emissions. The electricity sector which generates the greatest amount of China's carbon dioxide (CO2) emissions should be covered by such a carbon pricing system. The review of the three main stages of China's electricity market reforms shows that the degree of electricity marketization is relatively low, which might become an obstacle to carbon pricing. This paper develops theoretical and empirical models to analyze the impacts of carbon pricing on electricity supply under two scenarios, namely, marketization and regulation. It is concluded that the electricity market reform is a prerequisite for the development of carbon pricing. Without market-oriented reforms of electricity pricing in China, carbon pricing might lead to a shortage in electricity supply. Potential electricity market reforms to encourage market competition and promote market-oriented electricity-pricing are also suggested.
    Date: 2014
    URL: http://d.repec.org/n?u=RePEc:uwa:wpaper:14-03&r=cna
  8. By: YAN WANG (MACAO POLYTECHNIC INSTITUTE);
    Abstract: Objectives: To describe and analysis the life-and-death attitude of nursing bachelor students from Macao and Mainland China. Method: Using the Scale of Life Attitude, a census was carried out in 461 students. 455 effective scales were collected. 209 and 246 papers were collected from Macao and Mainland China respectively. The scale was made up of six dimensions: ideal, life autonomy, existence, love-and-care, life experience and death attitude. The Cronbach’sαis .946. Results: â–‹1Mainland China students have higher scores(365.2±43.9) than Macao students(341.8±42.3) in life-and-death attitude, and they gain higher score in dimensions of ideal, life autonomy, existence, love-and-care, and life experienceÄĽ P>0.05ÄĽ‰, â–‹2Females have higher scores(357.4±44.5) than males(342.8±43.7) in life-and-death attitude, and they gain higher score in dimensions of ideal, existence, and love-and-careÄĽ P>0.05ÄĽ‰, â–‹3Students with religion have higher scores(367.9±44.5) than students without religion(352.9±44.5) in life-and-death attitude, and they gain higher score in dimensions of ideal, and love-and-careÄĽ P>0.05ÄĽ‰, â–‹4Students coming from the families who discuss death frankly have higher scores(366.6±43.8) in life-and-death attitude, and they gain higher score in all dimensionsÄĽ P>0.05ÄĽ‰, â–‹5Students with suicide idea have lower score in life-and-death attitude, and students with more-than-once suicide idea have lower score(340.2±45.6) in dimensions of ideal, existence and life experienceÄĽ P>0.05ÄĽ‰. â–‹6Students with excellent interpersonal relationship have higher scores(383.6±42.7) in life-and-death attitude. â–‹7Scores of life-and-death attitude show no difference between students from the higher income families and the lower income families. Conclusion: â–‹1Female, having religion, discussing death frankly in family, and good interpersonal relationship are positive factors to life-and-death attitude. Suicide ideal is negative factor to life-and-death attitude. â–‹2Family incomes show no effects on the life-and-death-attitude of students. â–‹3Although all belongs to China, Macao and Mainland China have different social system. The culture background and economic development have big differences. The reasons that cause the differences in the life-and-death attitude of bachelor nursing students from the two areas need further research.
    Keywords: Life-and-death Attitude , Nursing Bachelor Students ,Macao
    Date: 2014–07
    URL: http://d.repec.org/n?u=RePEc:sek:iacpro:0300247&r=cna
  9. By: Rongrong Sun (University of Nottingham Ningbo China and Hong Kong Institute for Monetary Research)
    Abstract: This paper models the PBC's operating procedures in a two-stage vector autoregression framework. We decompose changes in policy variables into exogenous and endogenous components in order to find a "clean" monetary policy indicator whose changes are mainly policy induced. Our main findings are twofold. First, the PBC¡¦s procedures appear to have changed over time. Second, its operating procedures are neither pure interest rate targeting nor pure reserves targeting, but a mixture of the two. There are a variety of indicators that appear to contain information about the monetary policy stance. It is therefore preferable to use a composite measure to gauge the stance of Chinese monetary policy. We construct a new composite indicator of the overall policy stance, consistent with our model. A comparison with existing indicators suggests that the composite indices, rather than individual indicators, perform better in measuring the stance of Chinese monetary policy.
    Keywords: Monetary Policy, VAR, Operating Procedures, Exogenous (Endogenous) Components
    JEL: E52 E58
    Date: 2015–03
    URL: http://d.repec.org/n?u=RePEc:hkm:wpaper:072015&r=cna
  10. By: Masumi Kikuchi (Waseda University)
    Abstract: The grazing forbidden policy is an important ecological project that was implemented at the beginning of this century in different regions in China. Yet, various problems emerged during its implementation. At an early stage, majority of the farmers could not get enough subsidies because of the incomplete compensation system. The objective of this study is to investigate the ecological compensation of the grazing forbidden project and draw up criteria for the life-style of the farmers in the areas covered by this project. A questionnaire survey and follow up interviews were conducted in Alashan prefecture of Inner Mongolia. The results indicated that in a later stage the farmers received more support from the government by receiving compensation for the added value of losing the rights to use their lands as well. At the end, policies and measures to establish and fulfill the ecological compensation mechanism in the grazing forbidden areas are also discussed.
    Keywords: Grazing Ban, Chinese Environment Policy, Inner Mongolia
    Date: 2014–07
    URL: http://d.repec.org/n?u=RePEc:sek:iacpro:0300321&r=cna
  11. By: Hawkins, Jacob; Ma, Chunbo; Schilizzi, Steven; Zhang, Fan
    Abstract: As the largest developing economy, China plays a key role in global climate change. Environmentally extended input-output analysis (EE-IOA) is an important and insightful tool seeing widespread use in studying large-scale environmental impacts in China: calculating and analyzing greenhouse gas emissions, carbon and water footprints, pollution, and embedded energy. Chinese EE-IOA are hindered, however, by unreliable data and limited resolution. This paper reviews the body of literature regarding EE-IOA for China in peer-reviewed journals and provides an overview of the articles, examining their methodologies, environmental issues addressed, and data utilized. This paper further identifies the shortcomings in using input-output analyses to gauge environmental impacts in China. Potentially fruitful areas of expansion in Chinese EE-IOA research are denoted, including under-researched environmental issues, underutilized methodologies, and techniques to disaggregate data to move beyond the limitations inherent in official Chinese input-output data.
    Keywords: China, input-output, disaggregation, Environmental Economics and Policy, Resource /Energy Economics and Policy, C67, D57, F18, O53, Q4, Q5,
    Date: 2015–03–22
    URL: http://d.repec.org/n?u=RePEc:ags:uwauwp:200175&r=cna
  12. By: Yu Hao; Yi-Ming Wei (Center for Energy and Environmental Policy Research (CEEP), Beijing Institute of Technology)
    Abstract: In recent years, the surge in China's CO2 emissions has caused increasing international concern. In this paper, we investigate whether and when the turning point in China's CO2 emissions would occur. A simple yet powerful neoclassical Green Solow Model (GSM) is utilized herein as the main forecasting tool. To verify the capability of this framework to address China's economy, a key prediction of the GSM ¨C the convergence in per capita CO2 emissions across Chinese provinces ¨C is empirically verified. By assigning reasonable values to the GSM's key parameters, the trajectories of total CO2 emissions are projected for the three regions of China and the whole country. The forecast results show that under the benchmark scenario, China's total CO2 emissions would peak approximately in the year 2047. According to the sensitivity analysis, carbon efficiency is the most important determining factor for whether a turning point in total CO2 emissions may occur.
    JEL: Q47 Q54
    Date: 2014–09–03
    URL: http://d.repec.org/n?u=RePEc:biw:wpaper:73&r=cna
  13. By: Jarko Fidrmuc (Zeppelin University Friedrichshafen); Iikka Korhonen (Bank of Finland Institute for Economies in Transition and Hong Kong Institute for Monetary Research)
    Abstract: We summarize previous research on China¡¦s business cycle correlation with other countries with the help of meta-analysis techniques. We survey 71 related papers along with all the characteristics of the estimations as well as those of the authors. We confirm that especially Pacific Rim countries have relatively high business cycle correlation with China. However, it appears that many characteristics of the studies and authors do influence the reported degree of business cycle synchronization. For instance, Chinese-language papers report higher correlation coefficients. Despite of this, we do not detect a robust publication bias in the papers.
    Keywords: Business Cycle Synchronization, Meta-Analysis, China
    JEL: E32 F44
    Date: 2015–03
    URL: http://d.repec.org/n?u=RePEc:hkm:wpaper:062015&r=cna
  14. By: Wenge Wang (University of Auckland)
    Abstract: This article reviews empirical studies on the relationship between independent directors and firm performance in Chinese listed companies. The purpose is to generalize empirical evidence on the theoretical claim that independent directors can improve firm performance by performing their monitoring role over management as expected by Chinese regulators. To fulfil this purpose, this article conducts a meta-empirical study by collecting 30 sample articles of existing empirical studies on the relationship between independent directors and firm performance in Chinese listed companies after the independent director institution has been introduced from corporate America to corporate China. The meta-empirical study is to review and generalize an integrated empirical evidence whether independent directors can improve firm performance in Chinese listed companies or not. Based on the statistical data from 30 collected sample articles, this article identifies four categories (board independence, independent directors’ characteristic, background and compensation) that authors of 30 sample articles use to test the correlation between independent directors and firm performance in Chinese listed companies. From the integrated empirical evidence from 30 collected sample articles, this article finds on the whole that board independence has no significant impact on firm performance, that independent directors’ characteristics and background have a controversial effect on firm performance and that independent directors’ compensation has a significant positive effect on firm performance. This may suggest that independent directors may primarily play an advisory role but not a monitoring role in Chinese listed companies.
    Keywords: Independent directors, corporate performance, Chinese listed companies
    JEL: K22 G38
    Date: 2014–07
    URL: http://d.repec.org/n?u=RePEc:sek:iefpro:0401247&r=cna
  15. By: Xiaodan Yu; Giovanni Dosi; Marco Grazzi; Jiasu Lei
    Abstract: This article explores the dynamics of market selection by investigating of the relationships linking productivity, profitability, investment and growth, based on China's manufacturing firm-level dataset over the period 1998-2007. First, we find that productivity variations, rather than relative levels, are the dominant productivity-related determinant of firm growth, and account for 15%-20% of the variance in firms' growth rates. The direct relation between profitability and firm growth is much weaker as it contributes for less than 5% to explain the different patterns of firm growth. On the other hand, the profitability-growth relationship is mediated via investment. Firm's contemporaneous and lagged profitabilities display positive and significant effect on the probability to report an investment spike, and, in turn, investment activity is related to higher firm growth.
    Keywords: Productivity, Market selection, Profitability, Investment spike, Firm growth, Chinese economy
    Date: 2015–03–27
    URL: http://d.repec.org/n?u=RePEc:ssa:lemwps:2015/03&r=cna
  16. By: Yu Hao; Yi-Ming Liu
    Abstract: Since the reform and opening up in 1978, China's Foreign Direct Investment (FDI) and foreign trade have grown rapidly. At the same time, China's Carbon Dioxide (CO2) emissions surged and China has become the world's biggest CO2 emitter. The purpose of this paper is to investigate the relationship between FDI, foreign trade and Carbon Dioxide emissions in China. Using a two-equation model adapted from Halkos and Paizanos (2013), the total impact of FDI on emission is divided into the direct and indirect impacts and estimated accordingly. The results suggest that the increase in per capita FDI helps to inhibit the growth of China's per capita CO2 emissions. Concretely, the dominating direct effect of FDI on carbon emissions is negative and the indirect effect is positive. However, for foreign trade, both direct and indirect effects on CO2 emissions are insignificant after taking consideration of potential endogeneity and introducing dynamics.
    Keywords: Foreign Direct Investment, Panel Data, CO2 Emissions, Direct and indirect impacts
    JEL: Q47 Q54
    Date: 2014–09–02
    URL: http://d.repec.org/n?u=RePEc:biw:wpaper:72&r=cna
  17. By: Anping Chen (School of Economics, Jinan University China); Nicolaas Groenewold (Business School, University of Western Australia)
    Abstract: The extent of inter-regional disparities is an important policy issue in China and the sources of these disparities have been subject to considerable empirical research. Yet we have relatively little empirical knowledge of the effects on the regional distribution of output of shocks to national macroeconomic variables such as GDP and investment. This is an important gap in the empirical literature since much government policy seeks to influence variables such as GDP or uses variables such as investment expenditure as a macroeconomic instrument. It is likely that national shocks will have differential regional impacts and policy-makers need to know the sign, size and timing of such effects before making policy decisions at the national level. We simulate the effects of aggregate shocks on individual provinces’ GDP within the framework of a vector autoregressive (VAR) model restricted in a manner following Lastrapes (Economics Letters, 2005). We use annual data from 1953 to 2012 to estimate the model which includes 28 of China’s provinces and simulate the effects of shocks to aggregate output and investment on provincial outputs. We find great diversity of effects across the provinces and also variability across the effects of different aggregate shocks but little evidence of a systematic influence of aggregate shocks on the distribution of their effects across the provinces.
    Date: 2014
    URL: http://d.repec.org/n?u=RePEc:uwa:wpaper:14-13&r=cna
  18. By: Zhu Liu; Kuishuang Feng; Klaus Hubacek; Sai Liang; Anadon, Laura Diaz; Chao Zhang; Dabo Guan
    Abstract: Abstract Knowing the carbon emission baseline of a region is a precondition for any mitigation effort, but the baselines are highly dependent on the system boundaries for which they are calculated. On the basis of sectoral energy statistics and a nested provincial and global multi-regional input?output model, we calculate and compare four different system boundaries for China's 30 provinces and major cities. The results demonstrate significant differences in the level of emissions for the different system boundaries. Moreover, the associated emissions with each system boundary varies with the regional development level, i.e. richer areas outsource more emissions to other areas, or in other words boundary 4 emissions are higher than boundary 1 emissions for rich areas and vice versa for poor areas. Given these significant differences it is important to be aware of the implications the choice of an accounting system might have on outcomes.
    Keywords: China
    URL: http://d.repec.org/n?u=RePEc:qsh:wpaper:241231&r=cna
  19. By: Jie He (Departement d'economique, Faculte d'administration, Universite de Sherbrooke); Anping Huang (Lingnan (University College), University of Sun Yat-sen, China);  Luodan Xu (Lingnan (University College), University of Sun Yat-sen, China)
    Abstract:  This article examines whether and how transboundary river water pollution spillover may affect resident’s Willingness to Pay (WTP) for a river water quality improvement project. Based on a CVM survey conducted in 20 cities located in the Xijiang river basin located in south China, our study demonstrates that the downstream city respondents report lower WTP when the water quality in the immediate upstream city is more polluted. This negative externality decreases with distance and relative bargaining power of downstream city. The simulated potential gain in social benefit if an integrated river basin management (IRBM) were installed, which is supposed to remove respondents’ concerns about negative externality of transboundary river pollution is found to be significant. We can consider this social benefit as upper bound for the transfer from downstream to upstream regions to ensure the reduction of transboundary river pollution spillovers in the Ecological Service Payment (ESP) regime, a hotly debated market-based environmental policy which is under polit project in some regions in China.
    Keywords:  transboundary water pollution, river, negative externality, spatial, contingent valuation, river water management, ecological service payment, China
    Date: 2015–03
    URL: http://d.repec.org/n?u=RePEc:shr:wpaper:15-04&r=cna
  20. By: Clemens Fuest (Centre for European Economic Research); Li Liu (Centre for Business Taxation, University of Oxford)
    Abstract: Does ownership affect the way fi?rms react to corporate taxation? This paper exploits key features of recent corporate tax reforms in China to shed light on the differential impact of taxation on ?firms under different ownership regimes including private, collectively owned and state owned companies. Employing a difference-in-difference estimation approach, we ?find that the increase in the deductibility of wage costs in 2006 has led to a sizable increase of wages per worker in private ?firms and an even larger increase in collective-owned enterprises. In contrast, there is no signi?cant wage response in state owned enterprises. The decrease in the statutory tax rate for domestic fi?rms since 2008 has induced collectivley-owned enterprises and private ?firms to reduce debt while there is no signi?cant response SOEs. Our results also suggest that the 2008 reform has reduced tax induced investment round tripping through Hong Kong, Macao and Taiwan.
    Date: 2015
    URL: http://d.repec.org/n?u=RePEc:btx:wpaper:1505&r=cna
  21. By: Ke Wang; Ya-Xuan Wang; Kang Li; Yi-Ming Wei (Center for Energy and Environmental Policy Research (CEEP), Beijing Institute of Technology)
    Abstract: Energy poverty has got increasing attention during the latest three decades. Measuring energy poverty is the premise of policy making to alleviate energy poverty. There is no unified energy poverty measurement that has been widely accepted. This paper reviews the commonly used energy poverty measurements through classifying them into three categories: energy service availability, energy service quality, and satisfaction of energy demand for human's survival and development. This paper also analyzes the suitability of the commonly used energy poverty measurement for China from the prospective of data availability and index applicability. Furthermore, we construct a new energy poverty comprehensive evaluation index in this study, and the index is illustrated to evaluate regional energy poverty in China. The evaluation results indicate that China's energy poverty showed an alleviating trend from 2000 to 2011, and during this period, China's energy service availability improved slightly; energy consumption cleanliness showed no significant change; energy management completeness decreased with fluctuations; and household energy affordability and energy efficiency improved continually. In addition, China's regions show different characteristics of energy poverty. For example, Middle reaches of Yangtze River region showed the worst energy availability and Eastern coastal region showed the worst energy management completeness. Several policy implications for energy poverty alleviation are also proposed in this study, including, for instance, increasing investment on energy infrastructure, and spreading energy management organization in rural area; decreasing relative cost on household commercial energy consumption, and encourage the utilization of modern, clean and efficient household energy consumption equipment.
    Keywords: Energy poverty, Energy service, Energy consumption, China
    JEL: Q47 Q54
    Date: 2014–09–05
    URL: http://d.repec.org/n?u=RePEc:biw:wpaper:74&r=cna
  22. By: Xiao, Ren
    Abstract: This paper has tried to address the three research questions this project raises by elaborating on how the idea of human security is understood or defined by the government and social actors in China; how the distinction between the “protection” aspect and “empowerment” aspect of human security is understood and accepted; and what particular downside risks are perceived as pressing human security issues in China - the major ones include air pollution, food security, and cyber security. The facts reveal that although as a term “human security” is not frequently used, there have been various human security practices in China. The idea of human security has been firmly established and threats to human security detected. For both the government and academic community in China, human security and state security are not necessarily confrontational but rather can be combined and they can complement each other. The recent developments in China are pointing in a healthy direction in terms of human security in the country.
    Keywords: Human Security
    Date: 2015–03–20
    URL: http://d.repec.org/n?u=RePEc:jic:wpaper:92&r=cna

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