Migation within China is an increasingly important topic when one examines the economics of China. Throughout histroy there have been significant waves of internal migration caused by famine, war and economics.
The limits of Chinese internal migration and not as well known as they should be. This new paper sheds some light on this issue.
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"Interprovincial Migration in China: The Effects of Investment and Migrant Networks"
IZA Discussion Paper No. 2924
Author: SHU MING BAO
University of Michigan at Ann Arbor - China Data
Center
Email: SBAO@UMICH.EDU
Auth-Page: http://ssrn.com/author=289828
Contact: ORN B. BODVARSSON
St. Cloud State University, Institute for the Study
of Labor (IZA)
Email: obbodvarsson@stcloudstate.edu
Auth-Page: http://ssrn.com/author=482448
Co-Author: JACK HOU
California State University, Long Beach
Email: jackhou@csulb.edu
Auth-Page: http://ssrn.com/author=348003
Co-Author: YAOHUI ZHAO
Peking University
Email: yhzhao@ccer.pku.edu.cn
Auth-Page: http://ssrn.com/author=336791
Full Text: http://ssrn.com/abstract=1001411
ABSTRACT: Since the 1980s, China's government has eased restrictions on internal migration. This easing, along with rapid growth of the Chinese economy and substantial increases in foreign and domestic investments, has greatly stimulated internal migration. Earlier studies have established that migration patterns were responsive to spatial differences in labor markets in China, especially during the 1990s. However, other important economic and socio-political determinants of interprovincial migration flows have not been considered. These include the size of the migrant community in the destination, foreign direct and domestic fixed asset investments, industry and ethnic mixes and geographic biases in migration patterns. We estimate a modified gravity model of interprovincial migration in China that includes as explanatory variables: migrant networks in the destination province, provincial economic conditions, provincial human capital endowments, domestic and foreign investments made in the province, industry and ethnic mixes in the province, provincial amenities and regional controls, using province-level data obtained from the National Census and China Statistical Press for the 1980s and 1990s. We find strong evidence that migration rates rise with the size of the destination province's migrant community. Foreign and domestic investments influence migration patterns, but sometimes in unexpected ways. We find that as economic reforms in China deepened in the 1990s, the structure of internal migration did not change as much as earlier studies have suggested. Consequently, our results raise new questions about the World's largest-scale test case of internal migration and strongly suggest a need for further research.
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