Place-based policies and local human capital accumulation: Evidence from China's special economic zone program

Wanqi Hu, Wangen Huang, Jianxin Wu and Chaokai Zhang

China Economic Review, 2024, vol. 85, issue C

Abstract: This paper examines the effects of a prominent place-based policies in China, special economic zones (SEZs), on human capital accumulation. Using a cohort difference-in-differences (DID) analysis and population census data, we find that exposure to the SEZ program led to an average increase of 0.14 years of education. Further investigation reveals that increases in educational expenses and inflow of highly educated talent are important factors in human capital improvement. We also find that the effects are only significant for females and senior high school education.

Keywords: SEZs; Human capital accumulation; Human capital investment; Place-based policies; China (search for similar items in EconPapers)
Date: 2024
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Persistent link: https://EconPapers.repec.org/RePEc:eee:chieco:v:85:y:2024:i:c:s1043951x2400052x

DOI: 10.1016/j.chieco.2024.102163

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