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ID:
187880
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| Summary/Abstract |
China experienced a near 5-fold increase in annual Higher Education (HE) enrolment in the decade starting in 1999. Using the China Household Finance Survey, we show that the Great HE Expansion has exacerbated a large pre-existing urban-rural gap in educational attainment underpinned by the hukou (household registration) system. We instrument the years of schooling with the interaction between urban hukou status during childhood and the timing of the expansion – in essence a difference-in-differences estimator using rural students to control for common time trends. We find that the Great HE raised earnings by 17% for men and 12% for women respectively, allowing for county fixed-effects. These Two Stage Least Squares (2SLS) estimates, which are robust to additional controls for hukou status at birth fully interacted with birth hukou province, can be interpreted as the Local Average Treatment Effect (LATE) of education on earnings for urban students who enrolled in HE only because of the Great HE Expansion. For the selected subsample of respondents with parental education information, we find that the 2SLS returns for students from more disadvantaged backgrounds are at least as high as their more advantaged counterparts, for both genders.
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| 2 |
ID:
169891
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| Summary/Abstract |
To analyze the impact of the increase of public transport on the urban air quality will contribute to the sustainable development of urbanization. But many existing studies have not paid attention to the potential endogeneity of estimation, which comes from the fact that the deterioration of air quality would in turn affect the policies of public transport investment. This paper attempts to control this endogeneity by introducing an instrument variable of the urban built-up area into the empirical models. Using city-level data from China, our study adopts 2SLS method and conducts a series of robustness tests to ensure the estimation results more convincing and robust. The results show that the urban air quality could be improved if the city provides more buses for public transport. Moreover, after controlling the endogeneity, the marginal improving effect of increasing the public transport on urban air quality could be larger from 0.082 to 0.678. This finding indicates that the endogeneity bias is likely to cause the underestimation of the improving effect, and may result in some errors of the policy decisions of urban investment.
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