Relaxing Migration Constraints for Rural Households

Cynthia Kinnan, Shing-Yi Wang and Yongxiang Wang

No 21314, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: This paper exploits two unique features of China's history to study the effects of access to internal migration: reforms to the household registration (hukou) system, and historical migration flows. We show that temporary migration due to a government policy called the “sent-down youth” (SDY) program created lasting inter-province links, so that decades later, hukou reforms in cities which sent SDY increased migration in provinces where those SDY temporarily resided. Using this variation, we find that improved access to migration leads to higher consumption levels and lower consumption volatility for rural households. Furthermore, household production shifts into high-risk, high-return activities.

JEL-codes: O15 (search for similar items in EconPapers)
Date: 2015-07
New Economics Papers: this item is included in nep-cna, nep-mig and nep-tra
Note: DEV
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Citations: View citations in EconPapers (6)

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Working Paper: Relaxing Migration Constraints for Rural Households (2015)
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