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MIGRATION AND LOCAL OFF-FARM WORKING IN RURAL CHINA

Zhuo Chen, Wallace Huffman and Scott Rozelle

No 20075, 2004 Annual meeting, August 1-4, Denver, CO from American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association)

Abstract: The paper analyzes the decision-making of rural Chinese households with three alternatives: stay exclusively on farm, take local off-farm jobs, and migrate. Based on a survey of rural Chinese households, we extend the dynamic discrete choice model of Wooldridge (2002a,b) to a trichotomous setting and apply it to a five-year panel study. We observe statistically significant state dependence between the current period response and decisions of the previous time period. We also conclude that education, household size, and social networks play important roles in job-location decision-making of rural Chinese households.

Keywords: Labor; and; Human; Capital (search for similar items in EconPapers)
Date: 2004
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