Home > Publications . Search All . Browse All . Country . Browse PSC Pubs . PSC Report Series

PSC In The News

RSS Feed icon

Lam says tightening global labor market good for American workers

Johnston says e-cigs may reverse two-decades of progress on smoking reduction

Mueller-Smith finds incarceration increases the likelihood of committing more, and more serious, crimes

Highlights

Bob Willis awarded 2015 Jacob Mincer Award for Lifetime Contributions to the Field of Labor Economics

David Lam is new director of Institute for Social Research

Elizabeth Bruch wins Robert Merton Prize for paper in analytic sociology

Elizabeth Bruch wins ASA award for paper in mathematical sociology

Next Brown Bag

PSC Brown Bags will be back fall 2015


Xiaogang Wu photo

Socialist Workers in the Market Transition: Voluntary and Involuntary Job Mobility and Earnings Inequality in Urban China, 1993-2000

Publication Abstract

Download PDF versionWu, Xiaogang. 2006. "Socialist Workers in the Market Transition: Voluntary and Involuntary Job Mobility and Earnings Inequality in Urban China, 1993-2000." PSC Research Report No. 06-613. December 2006.

This paper proposes a model of selective mobility of workers from the state sector to the market sector to illustrate how the market transition has led to earnings inequality in former state socialist countries. Analysis of the survey data collected in 2000 from selected Chinese cities reveals that recent entrants into the market are driven by two different institutional processes – some are self-selected for higher economic returns and some are pushed into the market through layoffs, resulting in a more heterogeneous body of workers in the market sector than before. Propensity score analyses demonstrate that an early market entry has no causal effect on earnings, whereas the effect of a late market entry on earnings is negatively associated with the propensity of making such a transition. Those who would otherwise do well in the state sector and therefore have a lower propensity for entering the market benefit more from the entry. The commonly observed higher earnings in the market sector are limited only to a subgroup of later entrants who are self-selected into the market.

Browse | Search : All Pubs | Next