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Ethnicity and Income in China: The Case of Ningxia

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  • Sato, Hiroshi
  • Ding, Sai

Abstract

Using a 2006 household survey from the Ningxia Hui autonomous region in China, this paper examines two aspects of the correlation between ethnicity and income: namely, differences in the returns to human capital and the effects of ethnicity- and religion-related social capital. The findings indicate ethnic disparity in the returns to human capital across rural and urban areas. In rural areas, the returns to human capital for the Hui workforce differ according to the place of economic activity (i.e. local employment or migration), whereas no ethnic disparity is found for the urban workforce. We also find that ethnicity- and religion-related social capital plays a significant role among the Hui in rural areas where the level of interethnic social interactions is lower. We use this to suggest that Muslim-oriented attitudes toward trust in social networks of rural Hui households positively and interactively affect income through ethnically open trust attitudes.

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File URL: http://hermes-ir.lib.hit-u.ac.jp/rs/bitstream/10086/23216/1/070ccesDP_46.pdf
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Bibliographic Info

Paper provided by Center for Research on Contemporary Economic Systems, Graduate School of Economics, Hitotsubashi University in its series CCES Discussion Paper Series with number 46.

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Length: 36 p.
Date of creation: Sep 2012
Date of revision:
Handle: RePEc:hit:ccesdp:46

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Keywords: ethnic minorities; Hui; household and personal income; China;

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  1. Schultz, T.P. & Mwabu, G., 1995. "Education Returns Across Quantiles of the Wage Function: Alternative Explanation for Returns to Education by Race in South Africa," Papers 744, Yale - Economic Growth Center.
  2. Bob Baulch & Hoa Thi Minh Nguyen & Hung Thai Pham & Phuong Thu Thi Phuong, 2011. "Ethnic Minority Poverty in Vietnam," Working Papers id:3426, eSocialSciences.
  3. Indunil De Silva, 2009. "Ethnicity and sheepskin effects in the returns to education in Sri Lanka: A conditional quantile analysis," International Journal of Development Issues, Emerald Group Publishing, vol. 8(1), pages 61-79, June.
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