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Place-based policies, rural employment, and intra-household resources allocation: Evidence from China’s economic zones

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  • Zhao, Chuanmin
  • Qu, Xi

Abstract

Using both reduced-form methods and structural modeling, we identify the relationship between place-based policies and individual bargaining power in rural China. Exposure to economic zones significantly increases women’s resource shares and reduces within-household inequality. The results are mainly driven by economic zones with female-dominated industries and women’s sectoral reallocation from agricultural to non-agriculture employment. Moreover, we analyze the impact of place-based policies on children’s education and find the dropout probability of children decreases by more than 4% when households live near EZs and girls benefit more from women’s bargaining power compared with boys.

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  • Zhao, Chuanmin & Qu, Xi, 2024. "Place-based policies, rural employment, and intra-household resources allocation: Evidence from China’s economic zones," Journal of Development Economics, Elsevier, vol. 167(C).
    • Handle: RePEc:eee:deveco:v:167:y:2024:i:c:s0304387823001669
    DOI: 10.1016/j.jdeveco.2023.103210
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    More about this item

    Keywords

    Place-based policy; Economic zone; Resource share; Rural employment; Intra-household inequality;
    All these keywords.

    JEL classification:

    • D13 - Microeconomics - - Household Behavior - - - Household Production and Intrahouse Allocation
    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • C31 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models; Quantile Regressions; Social Interaction Models
    • O25 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Industrial Policy
    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure

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