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Farewell to confucianism: The modernizing effect of dismantling China's imperial examination system

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  • Bai, Ying

Abstract

This study uses 1899–1908 prefecture-level panel data to assess how the likelihood of passing the civil service examination affected modernization before and after the examination system's abolition. Because higher quotas were assigned to prefectures with an agricultural tax of over 150,000 piculs, we use a regression discontinuity design to generate an instrument that resolves potential endogeneity and ensures robust results. We find that following abolition, prefectures with higher quotas of successful candidates tended to establish more modern firms and send more students for overseas study in Japan. A subsequent analysis using an individual dataset further shows that the skill level of these overseas students increased after abolition, especially in regions with higher per capita quotas. This finding implies that the examination system led to substantial misallocation of talents.

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  • Bai, Ying, 2019. "Farewell to confucianism: The modernizing effect of dismantling China's imperial examination system," Journal of Development Economics, Elsevier, vol. 141(C).
    • Handle: RePEc:eee:deveco:v:141:y:2019:i:c:s0304387818315475
    DOI: 10.1016/j.jdeveco.2019.102382
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    3. Logan (Geng) Li & Zhengwei Wang, 2022. "Understanding the long‐term effects of Keju: The case of entrepreneurship in China," Economics of Transition and Institutional Change, John Wiley & Sons, vol. 30(4), pages 665-689, October.
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    5. Feng, Chen & Bai, Caiquan & Kang, Yankun, 2023. "Historical social capital and contemporary private investment choices," Journal of Corporate Finance, Elsevier, vol. 79(C).
    6. Kong, Xiaoran & Zhang, Xueying & Yan, Cheng & Ho, Kung-Cheng, 2022. "China's historical imperial examination system and corporate social responsibility," Pacific-Basin Finance Journal, Elsevier, vol. 72(C).
    7. Nie, Liang & Zhang, ZhongXiang, 2023. "Is high-speed rail heading towards a low-carbon industry? Evidence from a quasi-natural experiment in China," Resource and Energy Economics, Elsevier, vol. 72(C).
    8. Vu, Tien Manh & Yamada, Hiroyuki, 2020. "The persisting legacies of imperial elites among contemporary top-ranked Vietnamese politicians," MPRA Paper 100861, University Library of Munich, Germany.
    9. Bai, Yu & Arabadzhyan, Anastasia & Li, Yanjun, 2022. "The legacy of the Great Wall," Journal of Economic Behavior & Organization, Elsevier, vol. 196(C), pages 120-147.
    10. Bo, Shiyu & Liu, Cong & Zhou, Yan, 2023. "Military investment and the rise of industrial clusters: Evidence from China’s self-strengthening movement," Journal of Development Economics, Elsevier, vol. 161(C).
    11. Yongbo Ge & Xiaoran Kong & Geilegeilao Dadilabang & Kung‐Cheng Ho, 2023. "The effect of Confucian culture on household risky asset holdings: Using categorical principal component analysis," International Journal of Finance & Economics, John Wiley & Sons, Ltd., vol. 28(1), pages 839-857, January.
    12. Chen, Yuanyuan & Yuan, Meng & Zhang, Min, 2023. "Income inequality and educational expenditures on children: Evidence from the China Family Panel Studies," China Economic Review, Elsevier, vol. 78(C).
    13. Yu Bai & Yanjun Li & Pak Hung Lam, 2023. "Quantity-quality trade-off in Northeast China during the Qing dynasty," Journal of Population Economics, Springer;European Society for Population Economics, vol. 36(3), pages 1657-1694, July.

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    More about this item

    Keywords

    Imperial civil examination; Incentive; Modern firms; Overseas study;
    All these keywords.

    JEL classification:

    • O10 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - General
    • N95 - Economic History - - Regional and Urban History - - - Asia including Middle East
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives

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