Accounting for Urban China's Earning Inequality: 1990-2005. (in Chinese. with English Summary.)

Combined the newly developed Shapely value decomposition method with Heckman two-step estimation, this paper accounts for the level and difference of urban China's earning inequality by gender, education, district, and experience, using the data of China Health and Nutrition Survey (1990-2005). We find that: (1) selection bias is important in accounting for urban earning inequality; (2) contribution of education to urban earning inequality tends to increase; (3) contribution of experience to urban earning inequality decreased continually; and (4) contribution of district to urban earning inequality increases. Technology progress, rapid industry structure change during economic growth and property right system reform, wage system reform, and restructuring of state-owned enterprises during the process of transition are potential interpretations for these findings.
JOUR
Chen, Binkai
Yang, Yishan
Xu, Wei
2009
Jingji Yanjiu/Economic Research Journal
44
12
30-42
05779154
656