{"title":"Does individual educational attainment affect educational homogamy?—Evidence from CGSS","authors":"Congjia Huo, Lingming Chen","doi":"10.1002/ise3.9","DOIUrl":"10.1002/ise3.9","url":null,"abstract":"<p>Family is the basic unit that constitutes social relations, and marriage-matching determines the development trajectory of a household. Education has become one of the most important ingredients of marriage in modern society, and the proportion of homogamy is increasing day by day. This article employs the data from the Chinese General Social Survey to research the mechanism of educational attainment on the educational homogamy. To eliminate the effect of endogeneity, we use the Probit model and instrumental variables for testing. The empirical results indicate that social members with higher educational backgrounds are more likely to choose educational homogamy. After controlling for other variables, social members and female members with lower ages are more likely to choose spouses with similar educational backgrounds.</p>","PeriodicalId":29662,"journal":{"name":"International Studies of Economics","volume":"17 1","pages":"82-107"},"PeriodicalIF":0.0,"publicationDate":"2022-07-19","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1002/ise3.9","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"90673720","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"How much between-group wage gaps can be explained by talent allocation frictions in China?","authors":"Zhe Li, Qingyu Peng","doi":"10.1002/ise3.16","DOIUrl":"10.1002/ise3.16","url":null,"abstract":"<p>What explains huge wage gaps between different <i>hukou</i> and gender groups in China? This paper uses an overlapping generation model with human capital investment and occupational choices to quantify how much wage gaps between these groups can be imputed to two types of talent allocation frictions, labor market discrimination, and human capital accumulation barriers. The calibrated model indicates that the two types of talent allocation frictions can explain a significant proportion (four-fifths, one-third, and three-fifths) of the wage gap between each non-urban-men group (urban women, rural men, and rural women) and urban men in 2013. Our counterfactual exercise also shows that eliminating these two frictions since 1995 would result in about half a percentage point increase in China's economic growth rate between 1995 and 2013.</p>","PeriodicalId":29662,"journal":{"name":"International Studies of Economics","volume":"17 2","pages":"183-215"},"PeriodicalIF":0.0,"publicationDate":"2022-07-19","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1002/ise3.16","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"76816932","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"The Belt and Road Initiative, political involvement, and China's OFDI","authors":"Haoyuan Ding, Yi Li, Liang Wang, Chang Xue","doi":"10.1002/ise3.15","DOIUrl":"10.1002/ise3.15","url":null,"abstract":"<p>The Belt and Road Initiative (BRI) is an important strategy for China. This study examines the effect of political involvement on firms' outward foreign direct investment (OFDI) in belt-road countries after the BRI. Using merged Chinese nonfinancial listed firm data, the fDi Markets database, and the Thomson One database (formerly known as SDC Platinum) for the period 2008–2018, we find that political involvement has positive effect on firms' OFDI in belt-road countries after the BRI. Furthermore, we find that the positive effect is heterogeneous across state-owned enterprises (SOEs) and non-SOEs. Political involvement has a positive effect on M&A for SOEs and Greenfield investment for non-SOEs in belt-road countries after the BRI. Our findings suggest that political involvement promotes firms' OFDI in belt-road countries after the BRI and is helpful to the macro-policy implementation.</p>","PeriodicalId":29662,"journal":{"name":"International Studies of Economics","volume":"17 4","pages":"459-483"},"PeriodicalIF":0.0,"publicationDate":"2022-07-19","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1002/ise3.15","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"84936979","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Does Chinese policy banks' overseas lending favor Belt Road Initiative countries?","authors":"Xin Chen, Heyang Fang, Yun Liu, Yifei Zhang","doi":"10.1002/ise3.8","DOIUrl":"10.1002/ise3.8","url":null,"abstract":"<p>This paper examines how Chinese policy banks responded to China's Belt Road Initiative (BRI) using transaction-level international syndicated loan data. Employing a difference-in-differences (DID) estimation, we show that Chinese policy banks increased aggregate lending (number of loans and loan amounts) to firms from the BRI countries compared to those from the non-BRI countries after the initiative. This increase was more pronounced among firms along the continental route and in the infrastructure sectors. We also find that Chinese policy banks' loans to the BRI borrowers were associated with reduced spread, lowered collateral requirement, and extended maturity. Moreover, our results suggest that Chinese policy banks gave more support to firms from the BRI countries with weaker economic performance, more fragile institutional quality, and closer political interests. Overall, our study highlights the supportive role played by Chinese policy banks in implementing a national globalization strategy.</p>","PeriodicalId":29662,"journal":{"name":"International Studies of Economics","volume":"17 4","pages":"430-458"},"PeriodicalIF":0.0,"publicationDate":"2022-07-17","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1002/ise3.8","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"72851215","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"China's global value chain linkage and logistics performances in emerging ASEAN economies","authors":"Hiroyuki Taguchi, Jun Zhao","doi":"10.1002/ise3.12","DOIUrl":"10.1002/ise3.12","url":null,"abstract":"<p>This paper aims to evaluate the extent of China's forward linkage of global value chains (GVCs) with emerging market economies of the Association of Southeast Asian Nations (ASEAN) compared to those with the United States and Japan, and also to examine the nexus of China's forward GVC linkage with logistics performances in emerging ASEAN economies as China's trade partners. This study uses the UNCTAD-Eora Database and applies a structural gravity trade model for empirical analysis. The statistical observations identified the major position of China's GVC, which has transformed from a backward linkage to a forward linkage since the mid-2000s. The empirical estimation verified that there is less linkage in China's forward GVC with emerging ASEAN economies than with the United States and Japan, and demonstrated that the lack of logistics performances in emerging ASEAN economies has been a significant factor in explaining the less linkage in China's forward GVC with them.</p>","PeriodicalId":29662,"journal":{"name":"International Studies of Economics","volume":"17 2","pages":"126-155"},"PeriodicalIF":0.0,"publicationDate":"2022-07-17","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1002/ise3.12","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"85394769","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"The role of socio-political factors in public debt accumulation: Evidence from CEMAC countries","authors":"Ulrich M. Ekouala","doi":"10.1002/ise3.17","DOIUrl":"https://doi.org/10.1002/ise3.17","url":null,"abstract":"<p>The analysis of public debt determinants is well documented in the literature. However, previous studies give more focus to the economic determinants neglecting the role played by socio-political factors. The purpose of this study is to fill that gap observed in the literature by investigating the impact of socio-political factors on CEMAC countries' public debt accumulation in a bivariate relationship. The paper employs the OLS and GLS as baseline models using panel data covering the period from 1980 to 2021. The study uses as alternative techniques the FE, FE-IV, and the GMM for robustness checks. The empirical findings highlight the system (both presidential and legislative), corruption, Electoral openness and Competitiveness for legislative election (Liec), and fraud as the main driving factors of public debt in CEMAC countries. This paper suggests further studies to give a particular interest to socio-political factors while investigating the determinants of public debt in developing countries.</p>","PeriodicalId":29662,"journal":{"name":"International Studies of Economics","volume":"18 3","pages":"306-325"},"PeriodicalIF":0.0,"publicationDate":"2022-07-17","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1002/ise3.17","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"50135927","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Subsidy and product diversity in the presence of buyer power","authors":"Zhiqi Chen, Hong Ding","doi":"10.1002/ise3.10","DOIUrl":"10.1002/ise3.10","url":null,"abstract":"<p>This paper analyzes the effectiveness of government subsidies in promoting product diversity when a downstream firm has buyer power. Using an extension of the Dixit-Stiglitz model of monopolistic competition, we compare the effects of subsidies on the equilibrium number of differentiated products and social welfare in the case where products are sold directly to consumers versus the case where they are distributed through a monopoly retailer with buyer power. We find that a production subsidy promotes product diversity in both cases, but the mechanisms through which a subsidy raises the number of products are different. Compared with the case where products are distributed directly to consumers, retailer buyer power reduces product diversity and social welfare. Furthermore, it weakens the effectiveness of the subsidy in promoting product diversity. At any given subsidy rate the equilibrium number of products is smaller, and a rise in the subsidy rate leads to a smaller increase in the number of products.</p>","PeriodicalId":29662,"journal":{"name":"International Studies of Economics","volume":"17 3","pages":"278-295"},"PeriodicalIF":0.0,"publicationDate":"2022-07-14","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1002/ise3.10","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"76015030","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Understanding the inventor team size: A view from “The Rice Theory”","authors":"Yixin Zhao, Qingqing Zong","doi":"10.1002/ise3.13","DOIUrl":"10.1002/ise3.13","url":null,"abstract":"<p>The inventor is a vital input in acquiring new technologies. Collaboration among inventors is an essential topic for scholars. Talhelm et al. proposed The Rice Theory, highlighting the cultural differences between rice and wheat regions. This paper explores the differences in inventor team size under rice and wheat cultures using invention patent data in China. The results of ordinary least square estimation and instrumental variable estimation indicate that the size of inventor teams under rice culture is significantly smaller than that under wheat culture by 0.558–0.721 persons. Using the Chinese Qinling–Huaihe line, this paper constructs a regression discontinuity (RD) design. The local average treatment effect estimation confirms the difference in rice and wheat cultures. Subsequently, we demonstrate the significant existence of this difference through lots of robustness checks. We try to explain the phenomenon from the perspective of “The Rice Theory” by arguing that inventors in rice regions may be more inclined to collaborate but with a smaller inventor team size. This paper demonstrates the cultural differences in the performance of inventor team size, informing our understanding of input in research and development (R&D) activities.</p>","PeriodicalId":29662,"journal":{"name":"International Studies of Economics","volume":"17 2","pages":"156-182"},"PeriodicalIF":0.0,"publicationDate":"2022-07-14","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1002/ise3.13","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"78210275","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Export creation of the Belt and Road Initiative: “Give-them-a-fish” or “Teach-them-to-fish”?","authors":"Yu Chen, Yan Zhang, Lin Zhao","doi":"10.1002/ise3.5","DOIUrl":"10.1002/ise3.5","url":null,"abstract":"<p>The Belt and Road Initiative (BRI) initiated by China in 2013 is a new experiment in regional cooperation, which aims to improve infrastructure connectivity through investment. This paper investigates whether the BRI created exports for its member states (excluding China), based on a difference-in-differences model. We find a significant causal relationship between the signing of the initiative and the export growth of its member states. In addition to the large export creation between the BRI countries and China (considered as “give-them-a-fish”), export creation also originated from the BRI countries excluding China (“teach-them-to-fish”). Both the intensive and extensive margins are significantly important, indicating that export creation has not just come from expansion of the volume of existing products, but also from new products and new markets. The BRI achieved the goal of mutual benefit mainly through enlisting investment in both publicly funded infrastructure sectors and private sectors. Moreover, the initiative has enhanced the position and participation of its member states in the global value chain.</p>","PeriodicalId":29662,"journal":{"name":"International Studies of Economics","volume":"17 4","pages":"531-549"},"PeriodicalIF":0.0,"publicationDate":"2022-07-12","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1002/ise3.5","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"82275984","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Is the discrimination against migrant workers tending toward zero in urban China?","authors":"Mohammad Altaf-Ul Alam, Xiaobo He","doi":"10.1002/ise3.4","DOIUrl":"10.1002/ise3.4","url":null,"abstract":"<p>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.</p>","PeriodicalId":29662,"journal":{"name":"International Studies of Economics","volume":"17 1","pages":"65-81"},"PeriodicalIF":0.0,"publicationDate":"2022-07-12","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1002/ise3.4","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"91369785","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}