Migration, population aging, and income inequality in China

Peng Zhan, Xinxin Ma and Shi Li

Journal of Asian Economics, 2021, vol. 76, issue C

Abstract: In this study, we examine the effects of four demographic factors, namely, birth, death, natural aging, and net migration, on population aging and income inequality in China. We use the official Chinese data and the China Household Income Project Survey data for the 2007–2013 period and apply a decomposition model based on the Shapley method. Unlike previous studies, we include migration in our decomposition model and find that natural aging is the primary factor contributing to population aging in both urban and rural areas. Further, migration may accelerate population aging in rural areas. Moreover, migration contributes to reducing income inequality in urban areas, while widening income inequality in rural areas. The effect of migration is larger than those of birth, death, and natural aging on income inequality. The robustness checks confirm these conclusions.

Keywords: Migration; Demographic factor; Population aging; Income inequality; China (search for similar items in EconPapers)
JEL-codes: I32 J11 J14 R23 (search for similar items in EconPapers)
Date: 2021
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (11)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:asieco:v:76:y:2021:i:c:s1049007821000804

DOI: 10.1016/j.asieco.2021.101351

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