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Private Educational Expenditure Inequality between Migrant and Urban Households in China’s Cities

Author

Listed:
  • Yiwen Chen

    (Central Bank of Luxembourg)

  • Ioana Salagean

    (STATEC)

  • Benteng Zou

    (CREA, Université du Luxembourg)

Abstract

China’s household registration (hukou) system restricts access to public schools to children without local city hukou. Migrant households thus need to finance privately all education-related costs their children incur. In contrast, local urban households often top- up their spending with private tutoring. Consequently, private educational expenditure of households in China’s cities reflects both willingness to investment in human capital and institutional constraints. We compare the educational expenditure of parents migrating with children to China’s cities to that of local urban parents, with a special focus on the role of the household registration system (hukou) in shaping these inequalities. We find that overall expenditure of migrants overwhelmingly exceeds that of locals after controlling for social and economic characteristics, but expenditure types are different. More detailed analysis of three subcategories of the education-related expenditure shows that migrant households spend more on tuition and sponsorship compared to households with local city hukou, but much less on private tutoring.

Suggested Citation

  • Yiwen Chen & Ioana Salagean & Benteng Zou, 2020. "Private Educational Expenditure Inequality between Migrant and Urban Households in China’s Cities," DEM Discussion Paper Series 20-03, Department of Economics at the University of Luxembourg.
  • Handle: RePEc:luc:wpaper:20-03
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    References listed on IDEAS

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    More about this item

    Keywords

    Chinese internal migrant children; educational investment; hukou registration;
    All these keywords.

    JEL classification:

    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
    • I31 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General Welfare, Well-Being
    • J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth
    • R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population

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