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RE-EXAMINATION OF THE WAGE DIFFERENTIALS BETWEEN MIGRANT WORKERS AND URBAN WORKERS IN CHINA: PANEL DATA ANALYSIS
|Keywords:||樣本選擇性誤差; 能力異質性; 薪資差異; 教育報酬率|
Sample selection bias; Ability heterogeneity; Wage differentials; Return to education
|Issue Date:||2021-07-19 16:05:41 (UTC+8)|
This paper uses panel data from the survey of 2008 and 2009 Rural- Urban Migrants in China (RUMiC) to re-examine the wage differences between Chinese migrant workers and urban residents under the control of endogenous selective bias and ability heterogeneity. We find that in terms of employment choices, the moving cost of migrant workers and the number of family income earners have significant influences on whether people choose to be paid workers. In terms of wage estimates, the urban residents' rate of return to education is about 10%, approximately twice the migrant workers' 4.9%, which is contrary to the existing literature, indicating that the return rate of education of urban residents is seriously underestimated when ability heterogeneity is not controlled. However, the return rate of work experience of migrant workers is greater than that of urban residents. Using Oaxaca- Ransom-Cotton's wage differential decomposition method, we further find that about 80% of the wage differential between migrant workers and urban residents can be attributed to the difference in endowment between the two groups. Only about 20% is unexplained or considered to be discrimination.
|Relation:||臺灣經濟預測與政策, Vol.51, No.2, pp.49-90|
|Appears in Collections:||[Department of Economics] Periodical Articles|
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