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Differential rewards to, and contributions of, education in urban China's segmented labor markets

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Margaret Maurer-Fazio
Ngan Dinh

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Abstract

Using worker data from a 1999-2000 urban enterprise survey, we examine the effects of education on the current earnings of continuously employed urban workers, migrants and laid off but subsequently re-employed workers. We also decompose the earnings differentials between each of these groups of workers and then assess the contribution of education to explanations of the differentials. The empirical results demonstrate that returns to education increase with marketization and competition in the workplace. We also find educational attainment to be an important explanator of the earnings differentials between institutionally differentiated groups of workers in China's urban labor markets. Copyright 2004 Blackwell Publishing Ltd

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Article provided by Blackwell Publishing in its journal Pacific Economic Review.

Volume (Year): 9 (2004)
Issue (Month): 3 (October)
Pages: 173-189
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Handle: RePEc:bla:pacecr:v:9:y:2004:i:3:p:173-189

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Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Knight, J & Song, L & Huaibin, J, 1997. "Chinese Rural Migrants in Urban Enterprises : Three Perspectives," Economics Series Working Papers 99190, University of Oxford, Department of Economics.
  2. Xin Meng, 2004. "Economic Restructuring and Income Inequality in Urban China," Review of Income and Wealth, Blackwell Publishing, vol. 50(3), pages 357-379, 09. [Downloadable!] (restricted)
  3. C Cindy Fan, 2001. "Migration and labor-market returns in urban China: results from a recent survey in Guangzhou," Environment and Planning A, Pion Ltd, London, vol. 33(3), pages 479-508, March. [Downloadable!] (restricted)
  4. Roberts, Kenneth D., 2001. "The determinants of job choice by rural labor migrants in Shanghai," China Economic Review, Elsevier, vol. 12(1), pages 15-39. [Downloadable!] (restricted)
  5. Oaxaca, Ronald, 1973. "Male-Female Wage Differentials in Urban Labor Markets," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 14(3), pages 693-709, October. [Downloadable!] (restricted)
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  6. Meng, Xin & Zhang, Junsen, 2001. "The Two-Tier Labor Market in Urban China: Occupational Segregation and Wage Differentials between Urban Residents and Rural Migrants in Shanghai," Journal of Comparative Economics, Elsevier, vol. 29(3), pages 485-504, September. [Downloadable!] (restricted)
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(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Lindbeck, Assar, 2006. "Economic-Social Interaction during China’s Transition," Working Paper Series 680, Research Institute of Industrial Economics. [Downloadable!]
  2. Yi Chen & Sylvie Démurger & Martin Fournier, 2007. "Différentiels salariaux, segmentation et discrimination à l’égard des femmes sur le marché du travail chinois," Working Papers 0713, Groupe d'Analyse et de Théorie Economique (GATE), Centre national de la recherche scientifique (CNRS), Université Lyon 2, Ecole Normale Supérieure. [Downloadable!]
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