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An Empirical Analysis of Income Inequality between a Minority and the Majority in Urban China: The Case of Ningxia Hui Autonomous Region

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  • Li Shi
  • Ding Sai
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Abstract

Based on the urban survey data of Ningxia Hui Autonomous Region in 2006, this paper studies the impact of ethnic characteristics on the income determination mechanism in the same economic region. Using the decomposition methods of Blinder and Oaxaca, Fields, and Morduch and Sicular, we analyze income gap between employed Hui and Han as well as income inequality within the two ethnic groups. The main conclusions are, first, that there is almost no income gap between Han and Hui in Ningxia. But different ethnic characteristics have effects on the income determination mechanism. Ethnic factors such as religion and social capital have no obvious effect on the income determination.

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File URL: http://gcoe.ier.hit-u.ac.jp/research/discussion/2008/pdf/gd08-022.pdf
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Paper provided by Institute of Economic Research, Hitotsubashi University in its series Global COE Hi-Stat Discussion Paper Series with number gd08-022.

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Date of creation: Jan 2009
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Handle: RePEc:hst:ghsdps:gd08-022

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Keywords: Minority; Majority; Income Inequality;

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  1. William A. Darity Jr. & Samuel L. Myers Jr. & Chanjin Chung, 1998. "Racial Earnings Disparities and Family Structure," Southern Economic Journal, Southern Economic Association, vol. 65(1), pages 20-41, July.
  2. Gustafsson, Bjorn & Shi, Li, 2003. "The Ethnic Minority-Majority Income Gap in Rural China during Transition," Economic Development and Cultural Change, University of Chicago Press, vol. 51(4), pages 805-22, July.
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Cited by:
  1. Margaret Maurer-Fazio & James W. Hughes & Dandan Zhang, 2010. "A comparison and decomposition of reform-era labor force participation rates of China's ethnic minorities and Han majority," International Journal of Manpower, Emerald Group Publishing, vol. 31(2), pages 138-162, May.

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