Higher Education Expansion in China, 1999–2003: Impact on Graduate Employability
Dongshu Ou () and
China & World Economy, 2022, vol. 30, issue 2, 117-141
We examine the impact of China's higher education expansion on labor market outcomes for young college graduates using China's 2005 1 Percent Population Sample Survey. Exploiting variations in the expansion of university places across provinces and high school cohorts between 1999 and 2003, we apply a difference‐in‐differences model and take into account the demand‐side effect by using the Bartik index. We find that the expansion of higher education in China decreased unemployment rates among males and college graduates in the short term. However, the policy decreased women's labor force participation and individual earnings in high‐skilled white‐collar jobs. We further discuss potential channels affecting the outcomes that were observed. Our results illustrate the broad economic benefits of higher education. The findings shed new light on the contribution of young skilled labor in the economic growth of China and call for policies that can alleviate the short‐term negative impact of higher education on individual students and maximize human capital. Our study also provides an interesting example of the consequences of the unequal expansion of higher education opportunities on the labor market of an emerging economy.
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1) Track citations by RSS feed
Downloads: (external link)
Working Paper: Higher Education Expansion and Labor Market Outcomes for Young College Graduates (2016)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:bla:chinae:v:30:y:2022:i:2:p:117-141
Ordering information: This journal article can be ordered from
http://www.blackwell ... bs.asp?ref=1671-2234
Access Statistics for this article
China & World Economy is currently edited by Yongding Yu
More articles in China & World Economy from Institute of World Economics and Politics, Chinese Academy of Social Sciences Contact information at EDIRC.
Bibliographic data for series maintained by Wiley Content Delivery ().