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Brain Drain to the State Sector: Job Preferences and Outcomes for China’s College Graduates

Hongbin Li, Lingsheng Meng, Yanyan Xiong, Sinclair Cook, Feb 28, 2024

Despite private enterprises dominating China’s labor market, college-educated workers are still highly concentrated in the state sector. Using data from the Chinese College Student Survey, we find that 64% of students in the sample expressed a strong preference for state-sector employment.

How Do Workers and Households Adjust to Robots?

Osea Giuntella, Yi Lu, Tianyi Wang, Apr 26, 2023

We analyze the effects of exposure to industrial robots on labor markets and household behaviors, exploring longitudinal household data from the China Family Panel Studies.

Judicial Independence, Local Protectionism, and Economic Integration in China

Ernest Liu, Yi Lu, Wenwei Peng, Shaoda Wang, Nov 23, 2022

Exploiting the staggered rollout, since 2014, of judicial independence reform that removed local governments’ control over local courts’ financial and personnel decisions in China, we show that judicial independence can reduce local protectionism and foster cross-regional economic integration.

The Dynamic Effects of Computerized VAT Invoices on Chinese Manufacturing Firms

Haichao Fan, Yu Liu, Nancy Qian, Jaya Wen, Aug 08, 2018

This investigation uses a balanced panel of large manufacturing firms to provide novel evidence on the dynamic effects of computerizing VAT invoices on tax revenues and firm behavior in China, 1998-2007. We find that computerization increases cumulative VAT revenues and increases the effective average tax rate. Furthermore, the evidence suggests that the effects of computerization change over time: tax revenue gains are likely to be smaller in the long run. Meanwhile, firms reduce output and input, and increase productivity monotonically over time.

Growing like China: Firm Performance and GVC Position

Davin Chor, Kalina Manova, Zhihong Yu, Apr 14, 2021

We use firm-level customs and manufacturing survey data, together with Input-Output tables for China, to examine how Chinese firms position themselves in global production lines. We document a sharp rise in the upstreamness of China’s imports, while the positioning of its exports has remained relatively stable, over the 1992-2014 period. Participation in global value chains thus appears to have facilitated an...