Technical progress and the share of labor income

Arbeitspapier

Changes in the labor share of national income affect inequality (Piketty 2014). This paper aims at investigating the relationship between the labor share and technical progress, based on provincial data of the People's Republic of China (PRC) from 1978 to 2012. Our main empirical results show that technical progress in the PRC had been mostly capital biased, contributing to the fast rises in income inequality in the PRC. However, the employment proportion of state-owned enterprises seems to have played a role in offsetting this negative effect, helping contain inequality. In recent years, both effects have become more significant and larger in absolute terms.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: ADBI Working Paper ; No. 672

Classification and Topics

• Classification: Wirtschaft ; Factor Income Distribution ; Aggregate Factor Income Distribution ; Public Enterprises; Public-Private Enterprises ; Technological Change: Choices and Consequences; Diffusion Processes
• Subject: Economics ; Industry and trade ; China, People's Republic of

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Zhang, Xun ; Wang, Chen ; Wan, Guanghua ; Luo, Zhi
• Event: Veröffentlichung
• (who): Asian Development Bank Institute (ADBI)
• (where): Tokyo
• (when): 2017

Further information

• Handle: http://hdl.handle.net/10419/163170
• Last update: 10.03.2025, 11:43 AM CET