Is the discrimination against migrant workers tending toward zero in urban China?
Abstract The paper analyzes earnings differences between rural–urban migrants and urban workers in China to examine the proposition that discrimination against migrant workers is tending toward zero. Blinder‐Oaxaca decomposition is applied using the 2013 China Household Income Project (CHIP) databas...
| Main Authors: | , |
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| Format: | Article |
| Language: | English |
| Published: |
Wiley
2022-06-01
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| Series: | International Studies of Economics |
| Subjects: | |
| Online Access: | https://doi.org/10.1002/ise3.4 |
| _version_ | 1797854880556122112 |
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| author | Mohammad Altaf‐Ul Alam Xiaobo He |
| author_facet | Mohammad Altaf‐Ul Alam Xiaobo He |
| author_sort | Mohammad Altaf‐Ul Alam |
| collection | DOAJ |
| description | Abstract The paper analyzes earnings differences between rural–urban migrants and urban workers in China to examine the proposition that discrimination against migrant workers is tending toward zero. Blinder‐Oaxaca decomposition is applied using the 2013 China Household Income Project (CHIP) database to find out the extent of discrimination against migrant workers. The results show the existence of wage difference between the two groups, however, most of the wage difference can be explained by observable characteristics implying that discrimination is on the wane. Assuming the urban worker's wage as a nondiscriminatory wage, the benchmark model shows that 82.9% of the wage difference can be explained by individual endowments. Furthermore, including occupation and industry variables the extended model can explain 91.8% leaving only 8.2% as the source of wage discrimination. Using the combined and Cotton (1988) method, the explanatory part is still very high (89.2% and 86.3%) although a bit lower than the previous method. To further support the proposition, we also do the same exercise using 2007 CHIP data that shows a higher percentage of discrimination (36.2%), implying that discrimination decreased in 2013 compared to 2007. A cautious review of similar literature also supports the view. In short, wage discrimination against migrant workers is tending toward zero in recent urban China. |
| first_indexed | 2024-04-09T20:13:26Z |
| format | Article |
| id | doaj.art-a522cedd88ef48eb927b0af1ae82da31 |
| institution | Directory Open Access Journal |
| issn | 2831-3224 |
| language | English |
| last_indexed | 2024-04-09T20:13:26Z |
| publishDate | 2022-06-01 |
| publisher | Wiley |
| record_format | Article |
| series | International Studies of Economics |
| spelling | doaj.art-a522cedd88ef48eb927b0af1ae82da312023-03-31T13:40:20ZengWileyInternational Studies of Economics2831-32242022-06-01171658110.1002/ise3.4Is the discrimination against migrant workers tending toward zero in urban China?Mohammad Altaf‐Ul Alam0Xiaobo He1School of Business Shanghai University of International Business and Economics Shanghai ChinaSchool of Business Shanghai University of International Business and Economics Shanghai ChinaAbstract The paper analyzes earnings differences between rural–urban migrants and urban workers in China to examine the proposition that discrimination against migrant workers is tending toward zero. Blinder‐Oaxaca decomposition is applied using the 2013 China Household Income Project (CHIP) database to find out the extent of discrimination against migrant workers. The results show the existence of wage difference between the two groups, however, most of the wage difference can be explained by observable characteristics implying that discrimination is on the wane. Assuming the urban worker's wage as a nondiscriminatory wage, the benchmark model shows that 82.9% of the wage difference can be explained by individual endowments. Furthermore, including occupation and industry variables the extended model can explain 91.8% leaving only 8.2% as the source of wage discrimination. Using the combined and Cotton (1988) method, the explanatory part is still very high (89.2% and 86.3%) although a bit lower than the previous method. To further support the proposition, we also do the same exercise using 2007 CHIP data that shows a higher percentage of discrimination (36.2%), implying that discrimination decreased in 2013 compared to 2007. A cautious review of similar literature also supports the view. In short, wage discrimination against migrant workers is tending toward zero in recent urban China.https://doi.org/10.1002/ise3.4earning functionurban Chinawage discrimination |
| spellingShingle | Mohammad Altaf‐Ul Alam Xiaobo He Is the discrimination against migrant workers tending toward zero in urban China? International Studies of Economics earning function urban China wage discrimination |
| title | Is the discrimination against migrant workers tending toward zero in urban China? |
| title_full | Is the discrimination against migrant workers tending toward zero in urban China? |
| title_fullStr | Is the discrimination against migrant workers tending toward zero in urban China? |
| title_full_unstemmed | Is the discrimination against migrant workers tending toward zero in urban China? |
| title_short | Is the discrimination against migrant workers tending toward zero in urban China? |
| title_sort | is the discrimination against migrant workers tending toward zero in urban china |
| topic | earning function urban China wage discrimination |
| url | https://doi.org/10.1002/ise3.4 |
| work_keys_str_mv | AT mohammadaltafulalam isthediscriminationagainstmigrantworkerstendingtowardzeroinurbanchina AT xiaobohe isthediscriminationagainstmigrantworkerstendingtowardzeroinurbanchina |