Motivation of Parent–Child Co‐residence Behavior: Evidence from the China Health and Retirement Longitudinal Study

This paper examines the motivations of parent‐child co‐residence behavior in China using data from the China Health and Retirement Longitudinal Study. We test three possible motives: social norms, self‐interest and altruism. We find that social norms play an important role in household co‐residence behavior, showing that the belief that “sons take care of parents” is strong, and children in different birth orders take different responsibilities. Taking the one‐child policy as a natural experiment, we compared co‐residence behavior between only‐child and multi‐child families. This allowed us to test whether children in multi‐child families with wealthier parents more often co‐reside in order to compete for a bequest. We find that parents' wealth is more appealing to children in multi‐child families. The results support the life cycle theory that co‐residence decisions are motivated by self‐interest. We also find some evidence of altruism when parents and children make co‐residence decisions. These findings provide some insights for designing future elder‐support policies in China.     

Human Capital and Hours Worked of Children in Cambodia: Empirical Evidence for Policy Implications*

This study uses data from the Cambodian Child Labor Survey 2001/02 (CCLS‐2001/02) to investigate the trade‐off between child labor and their human capital formation. It also investigates the determinants of child schooling and that of the income earned from child labor. This study finds that children's education is a significant determinant of their wage rate, which implicitly explains the logic behind the household's decision to allow a child to both work and study, and thus explains why parents keep investing in their children's education. We also find that non‐poor households and fathers’ and mothers’ education have statistically significant effects on child schooling. Finally, this study has found that if children's average working hours are below the threshold level of 22 h per week, then education is not affected. These research findings have policy implications for the human capital development of children, as well as for broader social policy in Cambodia.     

Socioeconomic Determinants of Child Health: Empirical Evidence from Indonesia

This paper characterizes the socioeconomic determinants of child health using height‐for‐age z‐score (HAZ), a long‐run measure of chronic nutritional deficiency. We construct a panel data that follows children between ages 3 and 59 months in 1993 through the 1997 and 2000 waves of the Indonesian Family Life Survey. We use this data to identify the various child‐level, household‐level and community‐level factors that affect children's health. Our findings indicate that household income has a large and statistically significant role in explaining improvements in HAZ. We also find a strong positive association between parental height and HAZ. At the community level, we find that provision of electricity and the availability of paved roads are positively associated with improvements in HAZ. Finally, in comparison to community‐level factors, household‐level characteristics play a large role in explaining the variation in HAZ. These findings suggest that policies that address the demand‐side constraints have greater potential to improve children's health outcomes in the future.     

The Effect of Immigration on Unskilled Native Workers: Evidence from a Natural Experiment

This study exploits the natural experiment, provided by the start of the second intifada, to measure the effect of immigration on the wage and employment of unskilled native workers. It finds that immigration has no effect on the wage or employment of unskilled Jewish workers. The wage and employment of the least‐skilled Israeli Arab workers (with zero to five years of schooling) are adversely affected by immigration. The slightly more skilled Arab workers (with six to 11 years of schooling), in contrast, are positively affected by immigration, suggesting a complementarity effect with this group. Different explanations are proposed.     

The Impact of Self‐Perceived Relative Income on Life Satisfaction: Evidence from British Panel Data

This is the first article that uses panel data to investigate the impact of individuals' self‐perceived relative income on life satisfaction. Analyses show that the self‐perceived relative income has a significant impact on life satisfaction, but the impact is asymmetric. The decline in life satisfaction is much more significant due to perceiving a lower relative income in comparison to the rise in life satisfaction because of perceiving a higher relative income. Absolute income is only significantly and positively associated with life satisfaction in the pooled ordinary least squares estimations, but the association is never significantly different from zero when individual fixed effects are controlled. Household savings have a positive but small impact on life satisfaction. Among different financial‐related shocks, people's self‐perceived relative income varies the most due to changes in household net income, total savings, and employment status.     

Migration,Education and Rural Development: Evidence from China 2000 Population Census Data

There has been a concern that the growth of towns has been stalled recently and with it, the creation of non-farm jobs in rural industries. This study uses 2000 census tabulations to look at this issue by examining in-migration in towns in three provinces in China, Zhejiang, Henan, and Sichuan. In addition to the diversified patterns of town in-migrants revealed in these provinces, this paper finds that town in-migrants generally possess higher levels of educational attainment than those of the local population in towns, especially in the less-developed western and central provinces of Sichuan and Henan. There is also evidence that as towns themselves grow wealthier, such as in Zhejiang, better educated people in rural areas were likely to shift their jobs from the farm to non-farm sector in towns nearby, instead of leaving the countryside to migrate to other provinces. Labor markets in towns in less-developed western and central provinces were more flexible in accommodating in-migrants, whereas in the coastal province of Zhejiang, labor markets tend to become segregated between migrants and the local population.     

教育、健康与农村居民收入差距

人力资本和收入差距关系一直是经济研究中的热点问题,作为人力资本的重要因素,教育和健康对我国农村居民收入差距的扩大起到了关键性的作用,而初始收入差距的存在必然会影响到居民对教育和健康的投资,从而产生人力资本差距,进而对收入差距产生重大影响。文章对相关的文献进行梳理和评述,并对其相互影响的机制进行了探讨和总结。     

Does Trade,Technology, or Education Expel Traditional Sectors? Some Evidence from the Collapse of the Silk Sector in South Korea*

Rapid economic growth and development often drives out traditional activities. We determine how increased trade, technology, and access to education in South Korea led to the collapse of its silk sector. Results show that although the imports of silk yarn and fabric reduced domestic silk output and prices, trade liberalization was not the sole contributor to the collapse. Inelastic labor demand for unskilled workers, skill‐biased technology, and especially increased access to education all led to a sharp rise in the relative wage of unskilled workers, and the ensuing rise in production costs contributed to the silk sector's collapse.     

The Wage Elasticity of Informal Care Supply: Evidence from the Health and Retirement Study

This article focuses on the wage elasticity of informal care supply to elderly parents employing an instrumental variable approach to account for the fact that the wage rate is likely to be correlated with omitted variables. Using the 1998 wave of the 1998 ), the wage elasticity of informal care supply is estimated to be negative and larger in magnitude than found previously. The lower bound of this elasticity is estimated to be ?1.8 for males and ?3.6 for females. Additional findings suggest that this wage elasticity differs by the type of care provided to elderly parents and that it is larger in magnitude among individuals with siblings and those with independently living parents. Overall the reductions in the informal care constitute about 18% of the labor supply response for men and about 56% of the labor supply response for women, which are not compensated by monetary transfers.     

Technological Change,Job Risk,and Wage Premium: Evidence from Taiwan

The paper reports the results of analyzing the effects of technological change and job risk on wage premiums in Taiwan. Using unique individual data combined with industry‐level indices of technological change and fatality rates across industries, the empirical results show that, overall, industries characterized by a higher rate of technological change or fatality pay a higher wage. However, these positive correlations are attributed to the sorting effect in which workers with some specific features choose to find jobs in industries with rapid technological change and higher job risk. Furthermore, this paper reports a positive relationship between education and wages after controlling for individual heterogeneity, showing the existence of education premium in Taiwan.     

The Intergenerational Consequences of Tobacco Policy: A Review of Policy's Influence on Maternal Smoking and Child Health

The response of pregnant women to tobacco policy is of particular interest due to these women being in a unique position to pass health capital to the next generation. By comparing estimates in the literature, we highlight that while pregnant women are responsive to taxes and taxes improve child health, their responsiveness has declined over time. We show that these trends reflect a compositional change; specifically, the least addicted smokers quit in the 1990s, leaving the pool of smoking mothers to be dominated by less price elastic smokers. Reviewing the literature on other tobacco policies, we show that a state‐level U.S. smoking ban has roughly three times the effect on pregnant women of a 10% increase in prices using elasticity estimates from more recent periods. Throughout this review, we identify areas for improvement in the literature and offer a number of ideas for future research projects.     

Air pollution and mental health: Evidence from China Health and Nutrition Survey

Using the mental health data of the elderly in China Health and Nutrition Survey and city-level air pollution data, this paper empirically analyzes the influence of air pollution on the mental health of the elderly. Results show that with the aggravation of air pollution, the mental health of the elderly decreases significantly. Specifically, a 10 μg/m³ increase in air pollution causes a decrease of 2.43 points in mental health. Air pollution has a greater effect on males, rural residents, and low-income and low-education groups. In addition, this paper tests two mechanisms, namely, health status and individual activity, and finds that air pollution can reduce mental health by increasing the incidence and severity of disease. Moreover, the intensification of air pollution leads the elderly to prefer indoor activities. Based on individual data, this paper estimates the health effects of air pollution, which provides a basis for the formulation of environmental and health policies.     

Bilateral Trade Balances: Evidence from Malaysia*

This study examines the impacts of real exchange rates on the bilateral trade balances of Malaysia with the USA, Japan and Singapore. The results for the long‐run cointegrating vectors show that depreciation or devaluation of real exchange rates will improve bilateral trade balances. In the short run, there is some evidence of the J‐curve phenomenon. Changes in real money supply contribute greatly to changes in real exchange rates. Generally, changes in real exchange rates contribute significantly to changes in bilateral trade balances. Monetary policy can be used to influence bilateral trade balances.     

Glass Ceilings versus Sticky Floors: Evidence from Southeast Asia and an International Update

Using counterfactual decompositions combined with quantile regression, we investigate the pattern of gender wage differentials in Asian and Latin American countries and combine the findings with existing evidence for European and other mostly developed countries. While in the group of Latin American countries glass ceilings are prevalent, no clear evidence of glass ceilings is found in the group of Asian countries where, generally, sticky floors or a mixed pattern is the norm. The findings are robust with as well as without occupation controls. In addition, analysis by sector points to glass ceilings in the public sector in most countries, while in the private sector the patterns vary. Combining the new evidence from the present study with existing evidence (in total we consider 60 countries), a comprehensive global picture of gender wage differentials is provided. Possible explanations for differences in patterns of gender wage differentials are discussed.     

Health Status and Earnings of Migrant Workers from Rural China

The migration of rural laborers into cities for employment has been one of the main driving forces of China's economic growth over the past three decades. Based on a dataset collected by the Ministry of Agriculture of China from 2003 to 2007, this paper examines the impact of health on the earnings of migrant workers engaging in physically‐intensive work requiring good health. Our findings indicate that a poor health status not only weakens the incentive of rural laborers to participate in the migrant labor force but also significantly reduces their earnings. A migrant worker in poor health only earns 67 percent of what a healthy worker makes. Among all the human capital characteristics and family economic factors, health status is the most influential on earnings for less educated workers. Labor productivity has a greater impact on earnings than the annual number of days that a person works. Ongoing health‐care reforms aimed at the improvement of the health‐care services available to rural laborers are urged to help reduce poverty in rural China.