IDEAS home Printed from https://ideas.repec.org/a/wsi/serxxx/v66y2021i04ns0217590820490028.html
   My bibliography  Save this article

The Impact Of The Belt And Road Initiative On Firms’ Employment Structure And Wageâ €” Evidence From China’S Public Listed Firms

Author

Listed:
  • BO CHEN

    (School of Economics, Huazhong University of Science and Technology, 1037 Luoyu Rd., Wuhan, Hubei 430074, P. R. China)

  • YUE CHEN

    (School of Economics, Huazhong University of Science and Technology, 1037 Luoyu Rd., Wuhan, Hubei 430074, P. R. China)

Abstract

In this paper, we use the Belt and Road Initiative (B&R) as a semi-natural experiment and apply a difference-in-difference analysis together with the propensity score matching approach to estimate the impact of the B&R on China’s A-Share listed firms with outbound FDI to the B&R countries during 2011–2017. We find that China’s firms investing in B&R countries, compared to those investing elsewhere in the world, tend to reduce their total employment, increase the share of skilled labor, and increase wages. Various tests show that the key results of B&R impacts remain robust. We also find that the adjustment after investing in B&R countries is mainly found in non-SOEs, the firms in key provinces that enjoy pilot B&R policies. Both vertical and horizontal FDI firms are found to significantly adjust their employment, skill structure, and wage payment, with the former as more responsive.

Suggested Citation

  • Bo Chen & Yue Chen, 2021. "The Impact Of The Belt And Road Initiative On Firms’ Employment Structure And Wageâ €” Evidence From China’S Public Listed Firms," The Singapore Economic Review (SER), World Scientific Publishing Co. Pte. Ltd., vol. 66(04), pages 1055-1072, June.
    • Handle: RePEc:wsi:serxxx:v:66:y:2021:i:04:n:s0217590820490028
    DOI: 10.1142/S0217590820490028
    as

    Download full text from publisher

    File URL: http://www.worldscientific.com/doi/abs/10.1142/S0217590820490028
    Download Restriction: Access to full text is restricted to subscribers
    File URL: https://libkey.io/10.1142/S0217590820490028?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:wsi:serxxx:v:66:y:2021:i:04:n:s0217590820490028. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Tai Tone Lim (email available below). General contact details of provider: http://www.worldscinet.com/ser/ser.shtml .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.