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Preference for Redistribution and Inequality Perception in China: Evidence from the CGSS 2006

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  • Zhou Xun

    (Aix-Marseille University (Aix-Marseille School of Economics), CNRS & EHESS, GREQAM)

Abstract

In this paper I investigate the conditional correlation between preference for redistribution and the perceived role of "circumstances" and "effort" using the Chinese General Social Survey. I found very signi?cant correlations, thus validating the hypothesis of "sense of justice" for China. The migrant worker group who has dual identity (living/working in an urban area while being registered as a rural individual) is analysed in order to identify a discrimination effect (induced by the Chinese rural-urban segmentation policy) upon attitudes. However, being migrant is an endogenous variable to the attitude variables and the consistent estimate of this effect is much more important than the effect produced by a naïve estimate. The econometric model is a multivariate triangular LDV system with a binary endogenous explanatory variable estimated via a GHK simulator method. To implement the GHK calculations, I propose a parametric constraint to impose the positivity of the 3 × 3 correlation matrix. A generalisation for higher dimension cases is provided.

Suggested Citation

  • Zhou Xun, 2015. "Preference for Redistribution and Inequality Perception in China: Evidence from the CGSS 2006," AMSE Working Papers 1518, Aix-Marseille School of Economics, France.
    • Handle: RePEc:aim:wpaimx:1518
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    References listed on IDEAS

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    Cited by:

    1. Belguise, Margot & Huang, Yuchen & Mo, Zhexun, 2023. "Non-Meritocrats or Conformist Meritocrats? A Redistribution Experiment in China and France," The Warwick Economics Research Paper Series (TWERPS) 1476, University of Warwick, Department of Economics.
    2. Margot Belguise & Yuchen Huang & Zhexun Mo, 2024. "Non-meritocrats or choice-reluctant meritocrats? A redistribution experiment in China and France," Discussion Papers 2024-05, Nottingham Interdisciplinary Centre for Economic and Political Research (NICEP).
    3. Peihua Deng & Ronnie Schöb, 2022. "Group-Specific Redistribution, Inequality, and Subjective Well-Being in China," CESifo Working Paper Series 9847, CESifo.
    4. Belguise, Margot & Huang, Yuchen & Mo, Zhexun, 2023. "Non-Meritocrats or Conformist Meritocrats? A Redistribution Experiment in China and France," CEPREMAP Working Papers (Docweb) 2308, CEPREMAP.

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    More about this item

    Keywords

    preference for redistribution; inequality perceptions; conditional correlation; Hukou and migrant worker; binary endogenous; GHK simulator;
    All these keywords.

    JEL classification:

    • C36 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Instrumental Variables (IV) Estimation
    • D19 - Microeconomics - - Household Behavior - - - Other
    • H23 - Public Economics - - Taxation, Subsidies, and Revenue - - - Externalities; Redistributive Effects; Environmental Taxes and Subsidies
    • J18 - Labor and Demographic Economics - - Demographic Economics - - - Public Policy

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