Decomposing the Effect of Height on Income in China: The Role of Market and Political Channels

28 Pages Posted: 13 Mar 2015

See all articles by Eiji Yamamura

Eiji Yamamura

Seinan Gakuin University

Russell Smyth

Monash University - Department of Economics

Yan Zhang

Fukuoka Women's University - Fukuoka Women's University, International College of Arts and Sciences

Date Written: March 11, 2015

Abstract

It is well known that height is positively associated with earnings. Based on individual level data, this paper investigates the channels through which height influences income in China. Our first key finding is that taller people are more likely to become members of the Communist Party, resulting in an increase in their income level. We label this the height premium in earnings through the political channel. Second, controlling for the political channel of the height premium, height is positively associated with income in the labor market. We label this the height premium through the market channel. Third, the height premium in earnings through the market channel is larger than that through the political channel.

Keywords: Labor market, China, Height, Communist membership

JEL Classification: J08; J24; P26

Suggested Citation

Yamamura, Eiji and Smyth, Russell and Zhang, Yan, Decomposing the Effect of Height on Income in China: The Role of Market and Political Channels (March 11, 2015). ISER Discussion Paper No. 929. Available at SSRN: https://ssrn.com/abstract=2576584

Eiji Yamamura (Contact Author)

Seinan Gakuin University ( email )

6-2-92 Nishijin
Sawara-ku
Fukuoka 814-8511
Japan

Russell Smyth

Monash University - Department of Economics ( email )

Wellington Road
Clayton, Victoria 3
Australia

Yan Zhang

Fukuoka Women's University - Fukuoka Women's University, International College of Arts and Sciences ( email )

1-1-1, Kasumigoka, Higashi-ku
Fukuoka, 813-8529
Japan

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