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Migration Barriers and The Depressed Services

2019-11-07

Time:4:00pm - 5:30pm, Nov 7, 2019

Venue:Room 359S, Overseas Exchange Center, Peking University

SpeakerProf. Xican Xi

(Fudan University)

 

 

Abstract:

Cross-country data reveal a strong and positive correlation between income per capita and the share of services in the aggregate economy. Despite its strong economic growth, China has experienced a slower growth in the share of services compared to countries with comparable income per capita. This can be largely attributed to the much lower share of services in the rural areas, and the relatively large size of the rural population. Motivated by these facts, we build a spatial equilibrium model of structural transformation that features three key elements. First, the urban areas have a comparative advantage in the service sector. Second, services provided by the market have home-produced substitutes. Third, there are large barriers to rural-urban migration. Our quantitative results imply that barriers to rural-urban migration have caused a sizable drop in the share of services in China.

 

Speaker:

 

Prof. Xican Xi is the Assistant Professor at School of Economics, Fudan University. Before that, he was the Visiting Economist at Strategy, Policy, and Review Department of IMF during 2016-2017. He completed his Ph.D. studies in Economics at Arizona State University in 2016, and received his M.A. from Zhejiang University in 2010. His research intersts include Macroeconomics, Development Economics, and Environmental Economics.

 
体彩7星彩18118期