Are workers close to cities paid higher non-agricultural wages in rural China?
AbstractIn the present study, we investigate whether workers close to cities are paid higher non-agricultural wages than workers in outlying rural areas. We find that workers close to urban areas not only benefit from more opportunities to engage in non-agricultural activities, but also from better paid jobs. In addition, distance exhibits a strongly nonlinear impact. Distance always has a negative impact on wages but the effect is more detrimental, the closer the village is to the urban center. We also find evidence of urban hierarchy effects: workers living close to bigger cities are paid higher wages. Finally, we provide evidence on the transmission channels at work.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by HAL in its series Working Papers with number halshs-00673698.
Date of creation: 24 Feb 2012
Date of revision:
Note: View the original document on HAL open archive server: http://halshs.archives-ouvertes.fr/halshs-00673698
Contact details of provider:
Web page: http://hal.archives-ouvertes.fr/
Remoteness; regional labor market; China Codes; wages;
Other versions of this item:
- C. Duvivier & S. Li & M.-F. Renard, 2013. "Are workers close to cities paid higher nonagricultural wages in rural China?," Applied Economics, Taylor & Francis Journals, vol. 45(30), pages 4308-4322, October.
- Chloé DUVIVIER & Mary-Françoise RENARD & Shi LI, 2012. "Are workers close to cities paid higher non-agricultural wages in rural China?," Working Papers 201205, CERDI.
- R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population
- R10 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - General
- O53 - Economic Development, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East
- J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
This paper has been announced in the following NEP Reports:
- NEP-AGR-2012-03-08 (Agricultural Economics)
- NEP-ALL-2012-03-08 (All new papers)
- NEP-DEV-2012-03-08 (Development)
- NEP-GEO-2012-03-08 (Economic Geography)
- NEP-LAB-2012-03-08 (Labour Economics)
- NEP-TRA-2012-03-08 (Transition Economics)
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.:
- Combes, Pierre-Philippe & Duranton, Gilles & Gobillon, Laurent, 2004.
"Spatial Wage Disparities: Sorting Matters!,"
CEPR Discussion Papers
4240, C.E.P.R. Discussion Papers.
- Marcel Fafchamps & Forhad Shilpi, 2000.
"The Spatial Division of Labor in Nepal,"
Economics Series Working Papers
44, University of Oxford, Department of Economics.
- Jacob A. Mincer, 1974. "Schooling, Experience, and Earnings," NBER Books, National Bureau of Economic Research, Inc, number minc74-1.
- Mohapatra, Sandeep & Rozelle, Scott & Goodhue, Rachael, 2007. "The Rise of Self-Employment in Rural China: Development or Distress?," World Development, Elsevier, vol. 35(1), pages 163-181, January.
- Xia, Qingjie & Simmons, Colin, 2004. "Diversify and prosper: Peasant households participating in emerging markets in northeast rural China," China Economic Review, Elsevier, vol. 15(4), pages 375-397.
- Maëlys De La Rupelle & Deng Quheng & Li Shi & Thomas Vendryes, 2009.
"Land rights insecurity and temporary migration in rural China,"
PSE Working Papers
- de la Rupelle, Maëlys & Quheng, Deng & Li, Shi & Vendryes, Thomas, 2009. "Land Rights Insecurity and Temporary Migration in Rural China," IZA Discussion Papers 4668, Institute for the Study of Labor (IZA).
- Jacob A. Mincer, 1974. "Introduction to "Schooling, Experience, and Earnings"," NBER Chapters, in: Schooling, Experience, and Earnings, pages 1-4 National Bureau of Economic Research, Inc.
- Maja Micevska & Dil Bahadur Rahut, 2008.
"Rural Nonfarm Employment and Incomes in the Himalayas,"
Economic Development and Cultural Change,
University of Chicago Press, vol. 57(1), pages 163-193, October.
- Maja Micevska, 2009. "Rural Nonfarm Employment and Incomes in the Himalayas," Working Papers id:2226, eSocialSciences.
- Maja Micevska & Dil Bahadur Rahut, 2008. "Rural Nonfarm Employment and Incomes in the Himalayas," Development Economics Working Papers 22174, East Asian Bureau of Economic Research.
- Thibault Fally & Rodrigo Paillacar & Cristina Terra, 2008.
"Economic Geography and Wages in Brazil: Evidence from Micro-Data,"
THEMA Working Papers
2008-23, THEMA (THéorie Economique, Modélisation et Applications), Université de Cergy-Pontoise.
- Fally, Thibault & Paillacar, Rodrigo & Terra, Cristina, 2010. "Economic geography and wages in Brazil: Evidence from micro-data," Journal of Development Economics, Elsevier, vol. 91(1), pages 155-168, January.
- J. Vernon Henderson, Zmarak Shalizi, and Anthony J. Venables, 2001.
"Geography and development,"
Journal of Economic Geography,
Oxford University Press, vol. 1(1), pages 81-105, January.
- Laura Hering & Sandra Poncet, 2010.
"Market Access and Individual Wages: Evidence from China,"
The Review of Economics and Statistics,
MIT Press, vol. 92(1), pages 145-159, February.
- Berdegue, Julio A. & Ramirez, Eduardo & Reardon, Thomas & Escobar, German, 2001. "Rural Nonfarm Employment and Incomes in Chile," World Development, Elsevier, vol. 29(3), pages 411-425, March.
- Winters, Paul & Davis, Benjamin & Carletto, Gero & Covarrubias, Katia & Quiñones, Esteban J. & Zezza, Alberto & Azzarri, Carlo & Stamoulis, Kostas, 2009. "Assets, Activities and Rural Income Generation: Evidence from a Multicountry Analysis," World Development, Elsevier, vol. 37(9), pages 1435-1452, September.
- Ferreira, Francisco H. G. & Lanjouw, Peter, 2001. "Rural Nonfarm Activities and Poverty in the Brazilian Northeast," World Development, Elsevier, vol. 29(3), pages 509-528, March.
- Janvry, Alain de & Sadoulet, Elisabeth, 2001. "Income Strategies Among Rural Households in Mexico: The Role of Off-farm Activities," World Development, Elsevier, vol. 29(3), pages 467-480, March.
- Li, Haizheng, 2003. "Economic transition and returns to education in China," Economics of Education Review, Elsevier, vol. 22(3), pages 317-328, June.
- Mark D. Partridge & Dan S. Rickman, 2008. "Distance From Urban Agglomeration Economies And Rural Poverty," Journal of Regional Science, Wiley Blackwell, vol. 48(2), pages 285-310.
- Frank Ellis, 1998. "Household strategies and rural livelihood diversification," Journal of Development Studies, Taylor & Francis Journals, vol. 35(1), pages 1-38.
- Kung, James Kai-sing, 2002. "Off-Farm Labor Markets and the Emergence of Land Rental Markets in Rural China," Journal of Comparative Economics, Elsevier, vol. 30(2), pages 395-414, June.
- Jonasson, Erik & Helfand, Steven M., 2010. "How Important are Locational Characteristics for Rural Non-agricultural Employment? Lessons from Brazil," World Development, Elsevier, vol. 38(5), pages 727-741, May.
- Xiaoyun Liu & Terry Sicular, 2008.
"Non-agricultural Employment Determinants and Income Inequality Decomposition,"
University of Western Ontario, Economic Policy Research Institute Working Papers
20086, University of Western Ontario, Economic Policy Research Institute.
- Xiaoyun Liu & Terry Sicular, 2009. "Nonagricultural Employment Determinants and Income Inequality Decomposition," Chinese Economy, M.E. Sharpe, Inc., vol. 42(4), pages 29-43, July.
- de Brauw, Alan & Huang, Jikun & Rozelle, Scott & Zhang, Linxiu & Zhang, Yigang, 2002.
"The Evolution of China's Rural Labor Markets During the Reforms,"
Journal of Comparative Economics,
Elsevier, vol. 30(2), pages 329-353, June.
- de Brauw, Alan & Huang, Jikun & Rozelle, Scott & Zhang, Linxiu & Zhang, Yigang, 2002. "The Evolution Of China'S Rural Labor Markets During The Reforms," Working Papers 11984, University of California, Davis, Department of Agricultural and Resource Economics.
- Corral, Leonardo & Reardon, Thomas, 2001. "Rural Nonfarm Incomes in Nicaragua," World Development, Elsevier, vol. 29(3), pages 427-442, March.
- Rozelle Scott, 1994. "Rural Industrialization and Increasing Inequality: Emerging Patterns in China's Reforming Economy," Journal of Comparative Economics, Elsevier, vol. 19(3), pages 362-391, December.
- Lanjouw, Peter & Quizon, Jaime & Sparrow, Robert, 2001. "Non-agricultural earnings in peri-urban areas of Tanzania: evidence from household survey data," Food Policy, Elsevier, vol. 26(4), pages 385-403, August.
- Sylvie Démurger & Shi Li & Juan Yang, 2012.
"Earnings Differentials between the Public and Private Sectors in China: Exploring Changes for Urban Local Residents in the 2000s,"
- Démurger, Sylvie & Li, Shi & Yang, Juan, 2012. "Earnings differentials between the public and private sectors in China: Exploring changes for urban local residents in the 2000s," China Economic Review, Elsevier, vol. 23(1), pages 138-153.
- Barry Naughton, 2007. "The Chinese Economy: Transitions and Growth," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262640643, December.
- Deichmann, Uwe & Shilpi, Forhad & Vakis, Renos, 2009. "Urban Proximity, Agricultural Potential and Rural Non-farm Employment: Evidence from Bangladesh," World Development, Elsevier, vol. 37(3), pages 645-660, March.
- SHI, Xiaoping & Heerink, Nico & Qu, Futian, 2007. "Choices between different off-farm employment sub-categories: An empirical analysis for Jiangxi Province, China," China Economic Review, Elsevier, vol. 18(4), pages 438-455.
- Bird, Kate & Shepherd, Andrew, 2003. "Livelihoods and Chronic Poverty in Semi-Arid Zimbabwe," World Development, Elsevier, vol. 31(3), pages 591-610, March.
- John Knight & Lina Song, 2003. "Chinese Peasant Choices: Migration, Rural Industry or Farming," Oxford Development Studies, Taylor & Francis Journals, vol. 31(2), pages 123-148.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (CCSD).
If references are entirely missing, you can add them using this form.