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Journal ArticleDOI

Returns to education in rural China

Zhao Litao
- 01 Jan 2007 - 
- Vol. 2, Iss: 1, pp 30-47
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TLDR
Based on one of the most widely used datasets by foreign-based sociologists, the authors examined the rate of returns to education in rural China and found a considerably higher rate in 1996.
Abstract
Based on one of the most widely used datasets by foreign-based sociologists, this paper examines the rate of returns to education in rural China. Compared with the previous studies that showed rather low rates in rural areas throughout the 1980s, this study finds a considerably higher rate in 1996. A chief contributor is the rapid non-agricultural development, which creates enormous upward mobility opportunities, particularly for the more educated. Due to the uneven economic development nationwide, the rate of returns to education varies widely across regions. In areas with less developed non-agricultural sectors, it remains low. In contrast, where off-farm employment is widespread, it is much higher. In addition, the labor market is functioning to allocate the more educated to better-paid jobs, but has yet to produce higher returns to education in non-agricultural sectors than in the agricultural sector. However, changes may be occurring in coastal regions.

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Reconciling the Returns to Education in Off-Farm Wage Employment in Rural China

TL;DR: In this article, the authors find that the returns to education in rural China are far lower than estimates for other developing economies, and they seek to determine why previous estimates are so low and provide estimates of what they believe are more accurate measures of the returns.
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Education and the Poverty Trap in Rural China: Closing the Trap

TL;DR: In this paper, the authors view the relationship involving education and income as forming a system, and one that can generate a poverty trap, and examine the determinants of pupil performance, time spent learning, and educational expenditure.
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A better vision for development: Eyeglasses and academic performance in rural primary schools in China

TL;DR: The authors found that wearing eyeglasses for one academic year increased the average test scores of students with poor vision by 0.16 to 0.22 standard deviations, equivalent to 3 to 5 additional years of schooling.

Work Units and Income Inequality: the Effect of Market Transition in Urban China

TL;DR: Li et al. as discussed by the authors analyzed the effect of marketization on individuals' income inequality in urban China as mediated by work units, which are classified into three types: Low Profit State Firms (LPFs), High Profit StateFirms (HPFs), and Market Firm (MFs).
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Trends in educational assortative marriage in China from 1970 to 2000

TL;DR: The authors examined trends in educational assortative marriage in China among first marriages from 1970 to 2000 using data from the 2000 China Population Census and the 2001 Chinese Demographic Reproductive Health Survey.
References
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Book

Schooling, Experience, and Earnings

Jacob Mincer
TL;DR: In this article, the authors analyzed the distribution of worker earnings across workers and over the working age as consequences of differential investments in human capital and developed the human capital earnings function, an econometric tool for assessing rates of return and other investment parameters.
Journal ArticleDOI

A Theory of Market Transition: From Redistribution to Markets in State Socialism

TL;DR: In this article, the transition from redistributive to market coordination shifts sources of power and privilege to favor direct producers relative to redistributors, which improves incentives for direct producers, stimulates the growth of private markets, and provides to entrepreneurs.
Journal ArticleDOI

Returns to education : an updated international comparison

TL;DR: In this paper, three main methods for estimating the rate of return to investment in education are described: the elaborate method, the earnings function method, and the short-cut method.
Journal ArticleDOI

Market transition and the persistence of power: The changing stratification system in urban China

TL;DR: Li et al. as mentioned in this paper found that income inequality in a major Chinese city declined only slightly during the first decade of reform policies; it then increased dramatically in the subsequent five years.
Journal ArticleDOI

Economic Transformation and Income Inequality in Urban China: Evidence from Panel Data

TL;DR: Li et al. as mentioned in this paper examined changes in income determinants between the pre-reform and reform eras, and found significant changes in returns to education and in the rise of private/hybrid firms in the reform era.
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What jobs can you get with an agricultural degree?

In addition, the labor market is functioning to allocate the more educated to better-paid jobs, but has yet to produce higher returns to education in non-agricultural sectors than in the agricultural sector.