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| 1 |
ID:
168345
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| Summary/Abstract |
This paper offers one of the first pieces of empirical evidence on the impact of inequality of opportunity on household education investment by using the panel data from China Family Panel Studies (CFPS) in three waves (2010, 2012 and 2014). Our result suggests that inequality of opportunity has a negative effect on household education expenditures. This result is robust to a series of robustness checks. Furthermore, for relatively disadvantaged households (household heads with less education, income, or rural hukou status), inequality of opportunity has a larger negative effect on their education expenditures. Policy suggestions to lower inequality of opportunity may include reducing labor market discrimination based on gender and hukou status, balancing education resources to create more equal educational opportunities, and offering children education subsidies in low-income families.
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| 2 |
ID:
182764
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| Summary/Abstract |
We construct a pseudo panel sample from the China General Social Survey to study the inequality of opportunity in China. The pseudo panel enables us to control for cohort-specific heterogeneities when estimating the Mincer equation, and the results show that individual circumstances play a prominent role in determining income advantage. Counterfactual analysis further reveals the importance of cohort-level circumstances: individual circumstances account for less than 10% of the observed income inequality, whereas equalizing both the individual circumstances and the cohort fixed effects reduces income inequality by 30%. Among the individual circumstances we examine, gender and paternal characteristics contribute more to income inequality than does hukou of birth. Subsample analysis shows that China's western provinces exhibit the highest inequality of opportunity and that the inequality of opportunity among younger cohorts is smaller than that among older cohorts.
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| 3 |
ID:
161876
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| Summary/Abstract |
This paper investigates trends in educational inequality in China, focusing on the contribution of ‘inequality of opportunity’ to these trends. Utilising the China Family Panel Studies survey for 2010 and 2012, we measure the inequality in individual educational outcomes (measured in years of schooling) in aggregate and for each of ten birth cohorts. We run regressions to identify the key determinants of these outcomes, all of which can be classified as ‘circumstances’ that lie beyond the control of each individual, and which reveal important variations in the magnitude and significance of key determinants across birth cohorts. The results are then used to calculate the share of ‘inequality of opportunity’ in overall educational inequality. The lack of equal opportunity for Chinese people with regard to their educational outcomes is shown to stem primarily from the divisive hukou system, with further significant contributions from father's education, birth cohort, province, parents' Communist Party membership, gender, family size and ethnicity, in that order.
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| 4 |
ID:
164719
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| Summary/Abstract |
This paper investigates the inequality of opportunity in China's labor earnings, defined as the component of inequality determined by personal circumstances that lie beyond the control of an individual, of which gender is one, as opposed to the component determined by personal efforts. Using the Survey of Women's Social Status in China (2010), we measure the share of inequality of opportunity in the total inequality of individual labor earnings for people aged 26–55 years, and separately for six birth cohorts and for female and male subsamples. Gender is revealed as the single most important circumstance determining nationwide individual labor earnings, with one's region of residence, father's occupation, father's education, birth cohort and holding rural or urban hukou also playing significant roles. A further investigation into the roles of circumstances and personal efforts (including education level, occupation, Communist Party membership, migration and marital status) confirms that circumstances play an alarmingly high role in shaping labor earnings distribution in China, and reveals notable gender differences that cannot be attributed to personal effort alone. These results provide the basis for recommending ways to improve gender equality of opportunity in the future.
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| 5 |
ID:
162911
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| Summary/Abstract |
This paper proposes an empirical implementation of the concept of inequality of opportunity in energy consumption expenditure and applies this to data from Chinese General Social Survey (CGSS). We examine the role played by circumstances beyond the control of individuals—for instance, gender, hukou status, family background and region of birth—in generating inequality in energy consumption expenditure in China. This study shows that the relative share of inequality of opportunity (IOR) in energy consumption expenditure in China is 10.02% for the entire sample. IOR turns out to be larger for the older cohort, peaking at 14.40% for the 1955–64 cohort. A Shapley-value decomposition presents that hukou status and region of birth are the two largest contributors to inequality of opportunity across birth cohorts. A heterogeneity analysis further shows that more disadvantaged groups—for instance, female individuals born in the West of rural China with worse family backgrounds—are facing more unequal opportunities in energy consumption in China. These results suggest that energy policies focused on zero discrimination in opportunities should be encouraged.
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| 6 |
ID:
182803
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| Summary/Abstract |
This study contributes to the literature on inequality of opportunity (IOp) in China by covering a longer and more recent span of time, employing better measures of given characteristics, and analyzing IOp for household income per capita with comparisons to individual income. Furthermore, it analyzes how IOp differs between the rural- and urban-born, and how IOp changes across birth cohorts and with age. We use 2002, 2013 and 2018 data from the Chinese Household Income Study and focus on income inequality among working-age persons. We find that IOp in China declined, especially between 2013 and 2018. In 2002 the large contributors to IOp were region, hukou type at birth, and parents' characteristics. In 2018 the contributions of region, hukou type at birth and parents' occupation had decreased, but that of parents' education had increased. We find that IOp is larger among those born in rural than urban China. Furthermore, IOP's contribution to total inequality within each birth cohort is highest earlier in individuals' work lives and declines with age. IOp is higher for older than younger birth cohorts, reflecting that younger cohorts have benefited from increased opportunities associated with China's reforms and opening up.
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