Export Wage Premium in China's Manufacturing Sector: A Firm Level Analysis

Dahai Fu, Yanrui Wu

Research output: Working paperDiscussion paper

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Abstract

This paper investigates whether exporting firms in Chinese manufacturing sector pay higher average wages than non-exporting firms by analyzing a large firm-level dataset derived from the Chinese Industrial Census in 2004. Through rigorous exercises involving robust regressions, quantile regressions and nonparametric matching estimators, we find that the wage premium of exporting activities is not a prevailing phenomenon in China. It is highly associated with heterogeneous characteristics of firms, such as ownership, export-orientation and locations. Overall, exporters located in coastal regions but Guangdong province are more likely to pay higher average wages than nonexporters, while those producing in Guangdong on average offer a lower pay.
Original languageEnglish
PublisherUWA Business School
Publication statusPublished - 2011

Publication series

NameEconomics Discussion Papers
No.22
Volume11

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