Migration in China: To Work or to Wed?
59 Pages Posted: 13 Feb 2018
Date Written: February 7, 2018
This paper develops a model encompassing both Becker’s matching model, and Tinbergen-Rosen’s hedonic model. We study its properties and provide identiﬁcation and estimation strategies. Using data on internal migration in China, we estimate the model and compute equilibrium under counter-factual alternatives to decompose the migration surplus. Our ﬁndings reveal that about 1/5 of the migration surplus of migrant women is generated in the marriage market and 3/5 in the labor market. We also ﬁnd that the welfare of urban men married with a migrant wife would have been 10% lower had their migrant wives not entered the urban marriage market.
Keywords: Sorting in many local markets, marriage market, hedonic and matching models.
JEL Classification: D3, J21, J23 and J31.
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