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Decomposing the Ethnic Gap in Rural Vietnam, 1993--2004

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  • Bob Baulch
  • Hung T. Pham
  • Barry Reilly

Abstract

This paper examines and decomposes the gap in per capita expenditures between majority and minority ethnic groups in rural Vietnam between 1993 and 2004. Over this period, the real expenditure gap between rural Kinh and Chinese-headed households and those headed by ethnic minorities increased by 14.6%. Approximately two-fifths of the mean gap is found to be due to differences in household endowments (in particular demographic structure and education), and at least half due to differences in returns to these endowments. Geographic variables explain less than one-fifth of the gap. Over half of the increase in the mean gap is linked to temporal changes in unobservable factors, and less than a quarter to the majority's endowments improving more rapidly than those of the minorities. Broadly similar findings are detected using quantile regression analysis. These findings raise important questions concerning the drivers of the disadvantage faced by Vietnam's ethnic minorities.

Suggested Citation

  • Bob Baulch & Hung T. Pham & Barry Reilly, 2012. "Decomposing the Ethnic Gap in Rural Vietnam, 1993--2004," Oxford Development Studies, Taylor & Francis Journals, vol. 40(1), pages 87-117, June.
    • Handle: RePEc:taf:oxdevs:v:40:y:2012:i:1:p:87-117
    DOI: 10.1080/13600818.2011.646441
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    1. Paul Glewwe & Nisha Agrawal & David Dollar, 2004. "Economic Growth, Poverty, and Household Welfare in Vietnam," World Bank Publications - Books, The World Bank Group, number 15010.
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    1. Quynh Hoang & Laure Pasquier-Doumer & Camille Saint-Macary, 2018. "Ethnicity and risk sharing network formation: Evidence from rural Vietnam," WIDER Working Paper Series 134, World Institute for Development Economic Research (UNU-WIDER).
    2. Saurabh Singhal & Ulrik Beck, 2015. "Ethnic disadvantage in Vietnam: Evidence using panel data," WIDER Working Paper Series 097, World Institute for Development Economic Research (UNU-WIDER).
    3. Nguyen, Trung Thanh & Nguyen, Thanh-Tung & Hoang, Viet-Ngu & Wilson, Clevo, 2019. "Energy transition, poverty and inequality: panel evidence from Vietnam," MPRA Paper 107182, University Library of Munich, Germany, revised 10 May 2019.
    4. Nguyen, Thanh-Tung & Nguyen, Trung Thanh & Grote, Ulrike, 2023. "Credit, shocks and production efficiency of rice farmers in Vietnam," Economic Analysis and Policy, Elsevier, vol. 77(C), pages 780-791.
    5. Arouri, Mohamed & Ben-Youssef, Adel & Nguyen, Cuong Viet, 2019. "Ethnic and racial disparities in children's education: Comparative evidence from Ethiopia, India, Peru and Viet Nam," Children and Youth Services Review, Elsevier, vol. 100(C), pages 503-514.
    6. Arouri, Mohamed & Ben-Youssef, Adel & Nguyen, Cuong Viet, 2019. "Ethnic and racial disparities in children's education: Comparative evidence from Ethiopia, India, Peru and Viet Nam," Children and Youth Services Review, Elsevier, vol. 100(C), pages 503-514.
    7. Maruejols, Lucie & Höschle, Lisa & Yu, Xiaohua, 2022. "Vietnam between economic growth and ethnic divergence: A LASSO examination of income-mediated energy consumption," Energy Economics, Elsevier, vol. 114(C).
    8. Nguyen Viet, Cuong, 2012. "Ethnic Minorities in Northern Mountains of Vietnam: Poverty, Income and Assets," MPRA Paper 40769, University Library of Munich, Germany.
    9. Quynh Hoang & Laure Pasquier-Doumer & Camille Saint-Macary, 2018. "Ethnicity and risk sharing network formation: Evidence from rural Vietnam," WIDER Working Paper Series wp-2018-134, World Institute for Development Economic Research (UNU-WIDER).
    10. Quynh Hoang & Camille Saint Macary & Laure Pasquier-Doumer, 2021. "Ethnicity and risk sharing network formation: Evidence from rural Viet Nam," Working Papers hal-03361332, HAL.
    11. Minh, Thai Thi, 2019. "Unpacking the systemic problems and blocking mechanisms of a regional agricultural innovation system: An integrated regional-functional-structural analysis," Agricultural Systems, Elsevier, vol. 173(C), pages 268-280.
    12. Dwayne Benjamin & Loren Brandt & Brian McCaig, 2017. "Growth with equity: income inequality in Vietnam, 2002–14," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 15(1), pages 25-46, March.
    13. Saurabh Singhal & Ulrik Beck, 2015. "Ethnic disadvantage in Vietnam: Evidence using panel data," WIDER Working Paper Series wp-2015-097, World Institute for Development Economic Research (UNU-WIDER).
    14. Pham, Huong Dien, 2017. "Do cultural factors alter the relationship between risk attitudes and economic welfare?," TVSEP Working Papers wp-003, Leibniz Universitaet Hannover, Institute for Environmental Economics and World Trade, Project TVSEP.
    15. Nguyen, Hoa-Thi-Minh & Kompas, Tom & Breusch, Trevor & Ward, Michael B., 2017. "Language, Mixed Communes, and Infrastructure: Sources of Inequality and Ethnic Minorities in Vietnam," World Development, Elsevier, vol. 96(C), pages 145-162.
    16. Dwayne Benjamin & Loren Brandt & Brian McCaig & Nguyen Le Hoa, 2012. "Evaluating the impact of a targeted land distribution program: Evidence from Vietnam," Working Papers tecipa-461, University of Toronto, Department of Economics.
    17. Damir Esenaliev & Susan Steiner, 2012. "Are Uzbeks Better off than Kyrgyz?: Measuring and Decomposing Horizontal Inequality," Discussion Papers of DIW Berlin 1252, DIW Berlin, German Institute for Economic Research.

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