Migration, Remittances and Rural Employment Patterns: Evidence from China

GATE Working Paper No. 1230

33 Pages Posted: 26 Oct 2012 Last revised: 14 Feb 2013

See all articles by Sylvie Démurger

Sylvie Démurger

University of Lyon 2 - Groupe d'Analyse et de Théorie Economique (GATE)

Shi Li

Beijing Normal University (BNU) - School of Economics and Business Administration

Date Written: October 23, 2012

Abstract

This paper explores the rural labor market impact of migration in China using cross-sectional data on rural households for the year 2007. A switching probit model is used to estimate the impact of belonging to a migrant-sending household on the individual occupational choice categorized in four binary decisions: farm work, wage work, self-employment and housework. The paper then goes on to estimate how the impact of migration differs across different types of migrant households identified along two additional lines: remittances and migration history. Results show that individual occupational choice in rural China is responsive to migration, at both the individual and the family levels, but the impacts differ: individual migration experience favors subsequent local off-farm work, whereas at the family level, migration drives the left-behinds to farming rather than to off-farm activities. Our results also point to the interplay of various channels through which migration influences rural employment patterns.

Keywords: labor migration, labor supply, remittances, temporary migration, left-behind, China

JEL Classification: O15, J22, R23, D13, O53

Suggested Citation

Démurger, Sylvie and Li, Shi, Migration, Remittances and Rural Employment Patterns: Evidence from China (October 23, 2012). GATE Working Paper No. 1230, Available at SSRN: https://ssrn.com/abstract=2165790 or http://dx.doi.org/10.2139/ssrn.2165790

Sylvie Démurger (Contact Author)

University of Lyon 2 - Groupe d'Analyse et de Théorie Economique (GATE) ( email )

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Ecully, 69130
France
(33 4) 72 86 61 05 (Phone)
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HOME PAGE: http://www.gate.cnrs.fr/spip.php?article22

Shi Li

Beijing Normal University (BNU) - School of Economics and Business Administration ( email )

No.19 Xinwai Str
Haidian District
Beijing, 100875
China

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