Real wage cyclicality in urban China

Kang, Lili and Peng, Fei (2010): Real wage cyclicality in urban China. Published in: Economics Letters , Vol. 115, No. 2 (2012): pp. 141-143.

Abstract

This paper investigates the cyclical behaviour of real wages in urban China using the China Health and Nutrition Survey (CHNS) 1989-2006. Using changes in the unemployment rate as the cyclical measure, we find pro-cyclicality in the public sector and small/medium firms, but not in big firms. We also find real wages of male, high educated or ever married workers are flexible. Including bonuses increases the pro-cyclicality of regular wages.

• Item Type: MPRA Paper
• Language: English
• Keywords: Real wage cyclicality; Panel data; CHNS; Coordination
• Subjects: E - Macroeconomics and Monetary Economics > E3 - Prices, Business Fluctuations, and Cycles > E32 - Business Fluctuations ; Cycles; J - Labor and Demographic Economics > J3 - Wages, Compensation, and Labor Costs > J31 - Wage Level and Structure ; Wage Differentials; J - Labor and Demographic Economics > J6 - Mobility, Unemployment, Vacancies, and Immigrant Workers > J64 - Unemployment: Models, Duration, Incidence, and Job Search

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