Essays on the effects of the development of transportation on differences in labor market outcomes by ethnicity and on the youth labor market in China

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University of Delaware
This research focuses on the effects of the development of transportation on different groups of people in China. Chapter 2 estimates the effects of transportation development on differences in labor market outcomes by ethnicity. The primary methodology I applied for this study is the difference-in-difference method. The common types of transportation in China are highway and high-speed rail. Therefore, this study investigates the combined effects of highway and high-speed rail. The estimates of the development of transportation may be biased because the Chinese government conducted many policies to benefit the western and central regions and young people. Thus, this research also employs the triple-difference strategy to estimate whether these policies have additional effects on different outcomes via the channel of highway and high-speed rail. Chapter 2 finds that highway and high-speed rail can reduce gaps in earnings, migration, and weekly working hours between minorities and Han. In addition, this chapter analyzes different types of jobs, such as tenured jobs, industrial jobs, agricultural jobs, self-employment jobs, and service jobs. The results reveal that highway plays a more significant role in decreasing disparities between minorities and Han than high-speed rail. Chapter 3 investigates the effects on the youth labor market. The International Labor Organization (ILO) and Chinese national census define youth as aged 15 to 24. I find that high-speed rail and highway connections increase education and the employment rate of youth. However, highway and high-speed rail have no impact on annual earnings and the probability of having a job with an employment contract for youth.
Development, Ethnicity, Inequality, Labor outcomes, Transportation development, Youth