China's “Great Migration”: The impact of the reduction in trade policy uncertainty
Giovanni Facchini (),
Maggie Y. Liu,
Anna Maria Mayda and
Journal of International Economics, 2019, vol. 120, issue C, 126-144
We analyze the effect of China's integration into the world economy on workers in the country and show that one important channel of impact has been internal migration. Specifically, we study the changes in internal migration rates triggered by the reduction in trade policy uncertainty faced by Chinese exporters in the U.S. This reduction is characterized by plausibly exogenous variation across products, which we use to construct a local measure of treatment, at the level of a Chinese prefecture, following Bartik (1991). This allows us to estimate a difference-in-difference empirical specification based on variation across Chinese prefectures before and after 2001. We find that prefectures facing the average decline in trade policy uncertainty experienced a 24% increase in their internal in-migration rate – this result is driven by migrants who are “non-hukou”, skilled, and in their prime working age. Finally, in those prefectures, working hours of “native” unskilled workers significantly increased, and internal migrants found employment in the places they migrated to.
Keywords: Hukou; Immigration; Internal migration; Trade policy uncertainty (search for similar items in EconPapers)
JEL-codes: F22 F63 J61 O15 (search for similar items in EconPapers)
References: Add references at CitEc
Citations: Track citations by RSS feed
Downloads: (external link)
Full text for ScienceDirect subscribers only
Working Paper: China's "Great Migration'': The impact of the reduction in trade policy uncertainty (2018)
Working Paper: China’s “Great Migration”: The impact of the reduction in trade policy uncertainty (2018)
Working Paper: China's "Great Migration": The Impact of the Reduction in Trade Policy Uncertainty (2018)
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:eee:inecon:v:120:y:2019:i:c:p:126-144
Access Statistics for this article
Journal of International Economics is currently edited by Gourinchas, Pierre-Olivier and RodrÃguez-Clare, AndrÃ©s
More articles in Journal of International Economics from Elsevier
Bibliographic data for series maintained by Dana Niculescu ().