A spatial analysis of inward FDI and urban–rural wage inequality in China - Lille Économie Management Accéder directement au contenu
Article Dans Une Revue Economic Systems Année : 2021

A spatial analysis of inward FDI and urban–rural wage inequality in China

Hao Wang
Jan Fidrmuc
Qi Luo
  • Fonction : Auteur

Résumé

This article investigates the spatial effect of inward foreign direct investment (FDI) on urban–rural wage inequality, both in the short and long run, by employing the Spatial Durbin Model. In particular, we carefully consider the heterogeneity of inward FDI with respect to its entry mode (ownership type) and sectoral distribution. Based on a panel dataset covering 30 provinces and cities in China from 2000 to 2016, our results show that inward FDI does not increase urban–rural wage inequality. In particular, we do not find a significant relationship between inward FDI in the secondary and tertiary sectors, while inward FDI in the primary sector has a slightly negative effect on inequality. When we consider inward FDI by entry mode, we find that wholly foreign-owned enterprises (WFE) have a negative spatial effect on urban–rural wage inequality in the short and long run, while equity joint ventures (EJV) reduce urban–rural inequality in the long run only.
Fichier non déposé

Dates et versions

hal-03592802 , version 1 (01-03-2022)

Identifiants

Citer

Hao Wang, Jan Fidrmuc, Qi Luo. A spatial analysis of inward FDI and urban–rural wage inequality in China. Economic Systems, 2021, 45 (3), pp.100902. ⟨10.1016/j.ecosys.2021.100902⟩. ⟨hal-03592802⟩
15 Consultations
0 Téléchargements

Altmetric

Partager

Gmail Facebook X LinkedIn More