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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

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.

Suggested Citation

  • Li Shi & Ding Sai, 2009. "An Empirical Analysis of Income Inequality between a Minority and the Majority in Urban China: The Case of Ningxia Hui Autonomous Region," Global COE Hi-Stat Discussion Paper Series gd08-022, Institute of Economic Research, Hitotsubashi University.
    • Handle: RePEc:hst:ghsdps:gd08-022
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    References listed on IDEAS

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    1. 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 805-822, July.
    2. William A. Darity Jr. & Samuel L. Myers Jr. & Chanjin Chung, 1998. "Racial Earnings Disparities and Family Structure," Southern Economic Journal, John Wiley & Sons, vol. 65(1), pages 20-41, July.
    3. 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.
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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 Limited, vol. 31(2), pages 138-162, May.
    2. Margaret Maurer-Fazio, 2012. "Ethnic discrimination in China's internet job board labor market," IZA Journal of Migration and Development, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 1(1), pages 1-24, December.
    3. Gustafsson, Björn Anders & Sai, Ding, 2014. "Mapping and Understanding Ethnic Disparities in Length of Schooling: The Case of Ningxia Autonomous Region, China," IZA Discussion Papers 8595, Institute of Labor Economics (IZA).
    4. Sato, Hiroshi & 佐藤, 宏 & Ding, Sai, 2012. "Ethnicity and Income in China: The Case of Ningxia," CCES Discussion Paper Series 46, Center for Research on Contemporary Economic Systems, Graduate School of Economics, Hitotsubashi University.
    5. He, Xiaobo, 2013. "Wages and Access to International Markets: Evidence from Urban China," MPRA Paper 44537, University Library of Munich, Germany.
    6. Björn Gustafsson & Xiuna Yang, 2017. "Earnings among nine ethnic minorities and the Han majority in China's cities," Journal of the Asia Pacific Economy, Taylor & Francis Journals, vol. 22(3), pages 525-546, July.
    7. Gustafsson, Björn Anders & Yang, Xiuna, 2016. "Earnings among Nine Ethnic Minorities and the Han Majority in China's Cities," IZA Discussion Papers 10230, Institute of Labor Economics (IZA).
    8. Anthony Howell, 2019. "Ethnic entrepreneurship, initial financing, and business performance in China," Small Business Economics, Springer, vol. 52(3), pages 697-712, March.
    9. Junfeng Tian & Binyan Wang & Li Ma & Yunyan Li & Shijun Wang, 2024. "Ethnic disparities of poor households by a multilevel analysis of household and contextual effects: Evidence from a multi-ethnic county of China," PLOS ONE, Public Library of Science, vol. 19(12), pages 1-20, December.
    10. Qidong Huang & Jiajun Xu & Yongping Wei, 2018. "Clan in Transition: Societal Changes of Villages in China from the Perspective of Water Pollution," Sustainability, MDPI, vol. 10(1), pages 1-12, January.
    11. Björn Gustafsson & Ding Sai, 2015. "Mapping and Understanding Ethnic Disparities in Length of Schooling: The Case of the Hui Minority and the Han Majority in Ningxia Autonomous Region, China," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 124(2), pages 517-535, November.

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    JEL classification:

    • D33 - Microeconomics - - Distribution - - - Factor Income Distribution
    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination

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