Does Guanxi matter to nonfarm employment?:
Because land is scarce, farmers in China increasingly have to rely on nonfarm activities to enhance their incomes. The functioning of rural nonfarm labor markets is therefore crucial in determining who has access to nonfarm employment. Previous studies have identified human capital as a key factor determining the selection of workers in the rural nonfarm economy. Using a detailed household survey of northern and northeastern China, this paper shows that guanxi (social networks), has also played an important role. With limited nonfarm job opportunities and poor market information, farmers with better social contacts are more likely to obtain nonfarm jobs. Moreover, guanxi has a larger effect on the nonfarm employment opportunities of male workers than female workers.
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| Length: | |
| Date of creation: | 2001 |
| Handle: | RePEc:fpr:eptddp:74 |
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References listed on IDEAS
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- Dennis Tao Yang, 1999. "Urban-Biased Policies and Rising Income Inequality in China," American Economic Review, American Economic Association, vol. 89(2), pages 306-310, May.
- Walder, Andrew G., 2002. "Income Determination and Market Opportunity in Rural China, 1978-1996," Journal of Comparative Economics, Elsevier, vol. 30(2), pages 354-375, June.
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- Jacoby, Hanan G. & Li, Guo & Rozelle, Scott, 2002. "Hazards Of Expropriation:Tenure Insecurity And Investment In Rural China," Working Papers 11960, University of California, Davis, Department of Agricultural and Resource Economics.
- Zhao, Yaohui, 1999. "Labor Migration and Earnings Differences: The Case of Rural China," Economic Development and Cultural Change, University of Chicago Press, vol. 47(4), pages 767-782, July.
- Vishwanath, Tara, 1991. "Information flow, job search, and migration," Journal of Development Economics, Elsevier, vol. 36(2), pages 313-335, October.
- Denise Hare, 1999. "'Push' versus 'pull' factors in migration outflows and returns: Determinants of migration status and spell duration among China's rural population," Journal of Development Studies, Taylor & Francis Journals, vol. 35(3), pages 45-72.
- Steve Lovett & Lee C Simmons & Raja Kali, 1999. "Guanxi Versus the Market: Ethics and Efficiency," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 30(2), pages 231-247, June.
- Knight, J & Song, L, 1997. "Chinese Peasant Choices : Farming, Rural Industry or Migration," Economics Series Working Papers 99188, University of Oxford, Department of Economics.
- Yang, Dennis Tao, 1997. "Education and Off-Farm Work," Economic Development and Cultural Change, University of Chicago Press, vol. 45(3), pages 613-632, April.
- Yang, Dennis, 1995. "Education and Off-Farm Work," Working Papers 95-09, Duke University, Department of Economics.
- Margaret E. Grosh & Paul Glewwe, 1998. "Data Watch: The World Bank's Living Standards Measurement Study Household Surveys," Journal of Economic Perspectives, American Economic Association, vol. 12(1), pages 187-196, Winter.
- D. Gale Johnson, 2000. "Agricultural Adjustment in China: Problems and Prospects," Population and Development Review, The Population Council, Inc., vol. 26(2), pages 319-334.
- Zhao, Yaohui, 2002. "Causes and Consequences of Return Migration: Recent Evidence from China," Journal of Comparative Economics, Elsevier, vol. 30(2), pages 376-394, June.
- Woolcock, Michael & Narayan, Deepa, 2000. "Social Capital: Implications for Development Theory, Research, and Policy," World Bank Research Observer, World Bank Group, vol. 15(2), pages 225-249, August. Full references (including those not matched with items on IDEAS)
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