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Sectoral technological progress, migration barriers, and structural change in China

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  • Jiang, Zheng
  • Shi, Huimin

Abstract

We introduce a novel accounting method to infer sectoral technology and migration barriers among Chinese provinces, using data on structural change and migration from 1990 to 2010. The method is based on a multi-sector Eaton–Kortum model, embodying labor mobility friction across provinces. We find that the implied migration barriers are high and asymmetric. This asymmetry of migration barriers contributes to the expansion of provincial manufacturing labor share among all the provinces. Moreover, in a country with structural change, rich provinces gain less from inter-provincial trade than poor provinces.

Suggested Citation

  • Jiang, Zheng & Shi, Huimin, 2015. "Sectoral technological progress, migration barriers, and structural change in China," Journal of Comparative Economics, Elsevier, vol. 43(2), pages 257-273.
  • Handle: RePEc:eee:jcecon:v:43:y:2015:i:2:p:257-273
    DOI: 10.1016/j.jce.2015.01.001
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    More about this item

    Keywords

    Technological progress; Structural change; Migration;
    All these keywords.

    JEL classification:

    • F43 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Economic Growth of Open Economies
    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
    • R13 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - General Equilibrium and Welfare Economic Analysis of Regional Economies

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