China's great migration: the impact of the reduction in trade policy uncertainty

We analyze the effect of China's integration into the world economy on workers in the country and show that one important channel of impact has been internal migration. Specifically, we study the changes in internal migration rates triggered by the reduction in trade policy uncertainty faced by...

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Main Authors: Facchini, Giovanni, Liu, Maggie Y., Mayda, Anna Maria, Zhou, Minghai
Format: Monograph
Language:English
Published: Unpublished 2017
Subjects:
Online Access:https://eprints.nottingham.ac.uk/56837/
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author Facchini, Giovanni
Liu, Maggie Y.
Mayda, Anna Maria
Zhou, Minghai
author_facet Facchini, Giovanni
Liu, Maggie Y.
Mayda, Anna Maria
Zhou, Minghai
author_sort Facchini, Giovanni
building Nottingham Research Data Repository
collection Online Access
description We analyze the effect of China's integration into the world economy on workers in the country and show that one important channel of impact has been internal migration. Specifically, we study the changes in internal migration rates triggered by the reduction in trade policy uncertainty faced by Chinese exporters in the U.S. This reduction is characterized by plausibly exogenous variation across sectors, which we use to construct a local measure of treatment, at the level of a Chinese prefecture, following Bartik (1991). This allows us to estimate a difference-in-difference empirical specification based on variation across Chinese prefectures before and after 2001. We find that prefectures facing the average decline in trade policy uncertainty experience an 18 percent increase in their internal in-migration rate this result is driven by migrants who are "non-hukou", skilled, and in their prime working age. Finally, in those prefectures, working hours of "native" unskilled workers significantly increase - while the employment rates of neither native workers nor internal migrants change.
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spelling nottingham-568372019-06-23T10:30:14Z https://eprints.nottingham.ac.uk/56837/ China's great migration: the impact of the reduction in trade policy uncertainty Facchini, Giovanni Liu, Maggie Y. Mayda, Anna Maria Zhou, Minghai We analyze the effect of China's integration into the world economy on workers in the country and show that one important channel of impact has been internal migration. Specifically, we study the changes in internal migration rates triggered by the reduction in trade policy uncertainty faced by Chinese exporters in the U.S. This reduction is characterized by plausibly exogenous variation across sectors, which we use to construct a local measure of treatment, at the level of a Chinese prefecture, following Bartik (1991). This allows us to estimate a difference-in-difference empirical specification based on variation across Chinese prefectures before and after 2001. We find that prefectures facing the average decline in trade policy uncertainty experience an 18 percent increase in their internal in-migration rate this result is driven by migrants who are "non-hukou", skilled, and in their prime working age. Finally, in those prefectures, working hours of "native" unskilled workers significantly increase - while the employment rates of neither native workers nor internal migrants change. Unpublished 2017-01-01 Monograph NonPeerReviewed application/pdf en https://eprints.nottingham.ac.uk/56837/1/China%27s%20Great%20Migration%20The%20impact%20of%20the%20reduction%20in%20trade%20policy%20uncertainty.pdf Facchini, Giovanni, Liu, Maggie Y., Mayda, Anna Maria and Zhou, Minghai (2017) China's great migration: the impact of the reduction in trade policy uncertainty. Working Paper. Unpublished. (Unpublished) hukou; immigration; internal migration; trade policy uncertainty
spellingShingle hukou; immigration; internal migration; trade policy uncertainty
Facchini, Giovanni
Liu, Maggie Y.
Mayda, Anna Maria
Zhou, Minghai
China's great migration: the impact of the reduction in trade policy uncertainty
title China's great migration: the impact of the reduction in trade policy uncertainty
title_full China's great migration: the impact of the reduction in trade policy uncertainty
title_fullStr China's great migration: the impact of the reduction in trade policy uncertainty
title_full_unstemmed China's great migration: the impact of the reduction in trade policy uncertainty
title_short China's great migration: the impact of the reduction in trade policy uncertainty
title_sort china's great migration: the impact of the reduction in trade policy uncertainty
topic hukou; immigration; internal migration; trade policy uncertainty
url https://eprints.nottingham.ac.uk/56837/