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Economic transition and gender differentials in wages and productivity: Evidence from Chinese manufacturing enterprises

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  • Dong, Xiao-yuan
  • Zhang, Liqin

Abstract

We use firm-level data to analyze male-female wage differences in Chinese industry in the late 1990s. Our estimates indicate that employers' discrimination against women was not a significant source of the gender wage gap in Chinese state-owned enterprises. Instead, we find that the relative wage of unskilled female to male workers was higher than their relative productivity. This result indicates that unskilled female workers in the state sector had historically received wage premiums and consequently accounted for a disproportionate share of the sector's labor surplus.

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  • Dong, Xiao-yuan & Zhang, Liqin, 2009. "Economic transition and gender differentials in wages and productivity: Evidence from Chinese manufacturing enterprises," Journal of Development Economics, Elsevier, vol. 88(1), pages 144-156, January.
    • Handle: RePEc:eee:deveco:v:88:y:2009:i:1:p:144-156
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    3. Rickne, Johanna, 2010. "Gender, Wages, and Social Security in China’s Industrial Sector," Working Paper Series 827, Research Institute of Industrial Economics.
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    9. Qiao Wang, 2023. "Does the Chinese labour force make sufficient efforts? Empirical evidence using non‐parametric analysis," International Journal of Finance & Economics, John Wiley & Sons, Ltd., vol. 28(3), pages 3262-3280, July.
    10. Tsou, Meng-Wen & Yang, Chih-Hai, 2019. "Does gender structure affect firm productivity? Evidence from China," China Economic Review, Elsevier, vol. 55(C), pages 19-36.
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    12. Dammert, Ana C. & Ural Marchand, Beyza & Wan, Chi, 2013. "Gender Wage-Productivity Differentials and Global Integration in China," IZA Discussion Papers 7159, Institute of Labor Economics (IZA).
    13. Cristian Bartolucci, 2010. "Understanding the Native-Immigrant Wage Gap Using Matched Employer-Employee Data. Evidence from Germany," Carlo Alberto Notebooks 150, Collegio Carlo Alberto.
    14. Liu, Xueyue & Zuo, Sharon Xuejing, 2023. "From equality to polarization: Changes in urban China’s gender earnings gap from 1988 to 2016," Journal of Economic Behavior & Organization, Elsevier, vol. 205(C), pages 303-337.
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    17. Chen, Yiu Por (Vincent) & Zhang, Yuan, 2018. "A decomposition method on employment and wage discrimination and its application in urban China (2002–2013)," World Development, Elsevier, vol. 110(C), pages 1-12.
    18. Pabolu, Venkata Krishna Rao & Shrivastava, Divya & Kulkarni, Makarand S., 2022. "Modelling and prediction of worker task performance using a knowledge-based system application," International Journal of Production Economics, Elsevier, vol. 254(C).
    19. Ana C. Dammert & Beyza Ural Marchand, 2015. "Privatization In China: Technology And Gender In The Manufacturing Sector," Contemporary Economic Policy, Western Economic Association International, vol. 33(2), pages 250-264, April.
    20. Garcia-Hernandez, Ana & Grossman, Guy & Michelitch, Kristin, 2022. "Gender gap in politician performance and its determinants," Ruhr Economic Papers 972, RWI - Leibniz-Institut für Wirtschaftsforschung, Ruhr-University Bochum, TU Dortmund University, University of Duisburg-Essen.
    21. Melaku Abegaz & Gibson Nene, 2018. "Gender Wage and Productivity Gaps in the Manufacturing Industry. The Case of Ghana," Economic Papers, The Economic Society of Australia, vol. 37(3), pages 313-326, September.
    22. Lennon Zaninovic, Carolina Bernardita & Schneebaum, Alyssa, 2023. "How is global commerce affecting the gender composition of employment? A firm-level analysis of the effects of exposure to gender norms via trade and FDI," Department of Economics Working Paper Series 331, WU Vienna University of Economics and Business.
    23. Zhou, Xiaoyao & Ye, Jingjing & Li, Hao & Yu, Hongyan, 2022. "The rising child penalty in China," China Economic Review, Elsevier, vol. 76(C).
    24. Dong, Xiao-yuan & Pandey, Manish, 2012. "Gender and labor retrenchment in Chinese state owned enterprises: Investigation using firm-level panel data," China Economic Review, Elsevier, vol. 23(2), pages 385-395.
    25. Liangshu Qi & Xiao-Yuan Dong, 2013. "Housework Burdens, Quality of Market Work Time, and Men’s and Women’s Earnings in China," Departmental Working Papers 2013-01, The University of Winnipeg, Department of Economics.

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    More about this item

    Keywords

    I30 J16 J21 J64 J71 O10 R20 Gender wage discrimination Economic transition China;

    JEL classification:

    • I30 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General
    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search
    • J71 - Labor and Demographic Economics - - Labor Discrimination - - - Hiring and Firing
    • O10 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - General
    • R20 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - General

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