Does Social Capital Affect Rural Migrants’ Income?
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| Title | Does Social Capital Affect Rural Migrants’ Income?
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| Author | Wang Chunchao and Zhou Xianbo |
| Organization | Ji’nan University and Oxford University, Lingnan (University) College, Sun Yet-Sen University |
| Email | twangcc@jnu.edu.cn,zhouxb@mail.sysu.edu.cn |
| Key Words | Rural Migrants；Social Capital；Ordered Model with Sample Selection；Semiparametric Estimation |
| Abstract | This paper emphasizes on the sample selection bias and the ordered band property of the survey income data from the Pearl River Delta of China and hence applies the ordered model with sample selection to study the determinant factors which affect the rural migrants’ income including the family characteristic, human capital, social capital and some external system variables. Especially we base our analysis on the two kinds of social capital: “bonding” social capital and “bridging” social capital. The results show that both the “bridging” social capital and the “bonding” social capital have significant and positive effects on the migrants’ income, but the former has a larger improvement effect. Within an enterprise the friendly relationship between migrants and local workers can help increase the probability of the migrants’ earning a high and upper middle wage by about 24%; the migrants from the southern and northern have over 10% higher probabilities of earning a high and upper middle income than those from Guangdong and its adjacent provinces. The modes of the Chinese social net are transferring from the traditional “bonding” to the modern “bridging”. The two modes have complementary effects in improving the migrants’ income level, but the “bridging” social capital now is playing a more important role in this process. |
| Serial Number | WP360 |
| Time | 2012-09-18 |
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