Arbeitspapier

Measuring the income-distance tradeoff for rural-urban migrants in China

Rural-urban migrants in China appear to prefer nearby destination cities. To gain a better understanding of this phenomenon, we build a simple model in which migrants from rural areas choose among potential destination cities to maximize utility. The distance between a migrant's home village and destination city is explicitly included in the utility function. Using recent survey data, we first estimate an individual's expected income in each potential destination city using a semi-parametric method, controlling for potential self-selection biases. We then estimate the indirect utility function for rural- urban migrants in China based on their migration destination choices. Our baseline estimates suggest that to induce a migrant to move 10 percent further away from home, the income of this migrant has to increase by 15 percent. This elasticity varies very little with migration distance; it is slightly higher for female than male migrants; it is not affected by the migrant's age, education, or marital status. We explore possible explanations of these results and discuss their policy implications.

Sprache
Englisch

Erschienen in
Series: IZA Discussion Papers ; No. 7160

Klassifikation
Wirtschaft
Economic Development: Human Resources; Human Development; Income Distribution; Migration
Size and Spatial Distributions of Regional Economic Activity
Urban, Rural, Regional, Real Estate, and Transportation Economics: Regional Migration; Regional Labor Markets; Population; Neighborhood Characteristics
Thema
income-distance tradeoff
rural-urban migration
hukou system
China

Ereignis
Geistige Schöpfung
(wer)
Zhang, Junfu
Zhao, Zhong
Ereignis
Veröffentlichung
(wer)
Institute for the Study of Labor (IZA)
(wo)
Bonn
(wann)
2013

Handle
Letzte Aktualisierung
10.03.2025, 11:43 MEZ

Datenpartner

Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.

Objekttyp

  • Arbeitspapier

Beteiligte

  • Zhang, Junfu
  • Zhao, Zhong
  • Institute for the Study of Labor (IZA)

Entstanden

  • 2013

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