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Recruiting and retaining leaders and public servants at the grass-roots level in developing countries creates a potential tension between providing sufficient returns to attract talent and limiting the scope for excessive rent-seeking behavior. In China, researchers have frequently argued that village cadres, who are the lowest level of administrators in rural areas, exploit personal political status for economic gain. Much existing research, however, compares the earnings of cadre and non-cadre households in rural China without controlling for unobserved dimensions of ability that are also correlated with success as entrepreneurs or in non-agricultural activities. The findings of this paper suggest a measurable return to cadre status, but the magnitudes are not large and provide only a modest incentive to participate in village-level public administration. The paper does not find evidence that households of village cadres earn significant rents from having a family member who is a cadre. Given the increasing return to non-agricultural employment since China’s economic reforms began, it is not surprising that the return to working as a village cadre has also increased over time. Returns to cadre-status (such as they are) are derived both from direct compensation and subsidies for cadres and indirectly through returns earned in offfarm employment from businesses and economic activities managed by villages

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Journal of Comparative Economics
Authors
Scott Rozelle
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3
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This contribution documents the effect ofthe global financial crisis on women's off-farm employment in China's rural labor force. It begins by comparing the difference between the actual off-farm employment rate and the offfarm employment rate under the assumption of "business as usual" (BAU - a counterfactual of what off-farm employment would have been in the absence of the crisis). The study also examines how the impact of the financial crisis hit different segments of the rural off-farm labor market. Using a primary dataset, the study found that the global financial crisis affected women workers. By April 2009, there was a 5.3 percentage point difference between off-farm employment under BAU and actual off-farm employment for women, and the monthly wages of women declined. Most of this impact affected migrant wage earners; however, the impact did not fall disproportionately on women. The recovery of women's employment was as fast as that of men's employment

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Feminist Economics
Authors
Scott Rozelle
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3
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When seeking to build high quality and cost-effective infrastructure in rural villages, a fundamental question is: Who is better at doing so? Should the village leadership or a government agency above the village finance and/or manage the construction of the infrastructure project? To answer this question, we surveyed all rural road projects in 101 villages in rural China between 2003 and 2007 and measured the quality and per kilometer cost of each road. According to our analysis, road quality was higher when more of the project funds came from the government agency above. Moreover, projects had lower cost per kilometer when the village leaders managed the road construction. Overall, our findings suggest that to build high quality and cost-effective rural roads village leaders and government agencies should collaborate and each specialize in a specific project role.

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Journal of Development Economics
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Scott Rozelle
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China’s 2010 census revealed a population of 1.34 billion, 50 percent urban, 13.3 percent above age sixty, and with 118.06 boys born for every 100 girls. In this article, we discuss how gender imbalance, population aging, and their interaction with rapid urbanization have shaped China’s reform era development and will strongly shape China’s future. These intertwined demographic changes pose an unprecedented challenge to social and economic governance, contributing to and magnifying the effects of a slower rate of economic growth. We organize the analysis according to the proximate determinants of economic growth: first, labor input and its productivity; second, capital investment and savings; and finally, multi-factor productivity, including social stability and governance. We argue that the economic, political, and social context that turns labor and capital inputs into economic outputs is perhaps the most important and least understood arena in which demographic change will shape China’s rise.

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Journal of Asian Studies
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Scott Rozelle
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3
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This study estimates the impact of road expansion on off-farm activities in rural China. To achieve this goal, econometric models that capture the impact of road expansion on migration and local off-farm works are developed and estimated using individual data. Estimation results show that road expansion encourages farmers to participate in local off-farm work rather than migrate. In addition, road expansion also has a significant impact on the working time and income of local off-farm work.

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The China Quarterly
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Scott Rozelle
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Policymakers in many developing countries regard upper-secondary technical and vocational education and training (TVET) as a key element in economic growth and poverty reduction. Unfortunately, there is evidence that upper-secondary TVET programs in developing countries experience high rates of dropout. The overall goal of this study is to examine the dropout rates and reasons for dropout among uppersecondary TVET students in China. To meet this goal, we have three specific objectives. First, we seek to produce high-quality estimates of dropout rates among students in upper-secondary TVET schools in one coastal and one inland province of China. Second, we seek to identify which students drop out from upper-secondary TVET. Third, we test whether financial constraints, math and computer achievement, and parental education and migration status correlate with TVET dropout. Drawing on data from a survey of 7414 upper-secondary TVET students in two provinces of China, we find dropout rates of 10.7% across both provinces and as high as 22% in poorer inland areas, suggesting major gaps and disparities in Chinese TVET dropout rates. Furthermore, we find that baseline academic performance and maternal education and migration status are strong correlates for student dropout.

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International Journal of Education Development
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Prashant Loyalka
Scott Rozelle
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A number of developing countries are currently promoting vocational education and training (VET) as a way to build human capital and strengthen economic growth. The primary aim of this study is to understand whether VET at the high school level contributes to human capital development in one of those countries—China. To fulfill this aim, we draw on longitudinal data on more than 10,000 students in vocational high school (in the most popular major, computing) and academic high school from two provinces of China. First, estimates from instrumental variables and matching analyses show that attending vocational high school (relative to academic high school) substantially reduces math skills and does not improve computing skills. Second, heterogeneous effect estimates also show that attending vocational high school increases dropout, especially among disadvantaged (low-income or low-ability) students. Third, we use vertically scaled (equated) baseline and follow-up test scores to measure gains in math and computing skills among the students. We find that students who attend vocational high school experience absolute reductions in math skills. Taken together, our findings suggest that the rapid expansion of vocational schooling as a substitute for academic schooling can have detrimental consequences for building human capital in developing countries such as China. 

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The World Bank Economic Review
Authors
Prashant Loyalka
Number
1
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The objective of this paper is to assess the nature of China’s human capital. To achieve our objective, we both measure the share of the labor force that has attained upper secondary schooling levels (high school) as well as examine recent trends of 15–17 year olds who are attending high school. Using two sets of national representative data, we are able to show that, while the human capital of China’s labor force is still low (30%), between 2005 and 2015 the share of rural youth who attended high school rose sharply. According to Ministry of Education–reported statistics, in 2015 87% of 15–17 year olds were attending high school, up from around 50% in 2005. Given the recent pronouncements of the government to make high school universal by 2020, the challenges for the education system are to increase the attendance of rural as well as vocational education and training students.

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The Developing Economies
Authors
Scott Rozelle
Number
2
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Purpose – The purpose of this paper is to describe the policy and trends in rural education in China over the past 40 years; and also discuss a number of challenges that are faced by China’s rural school system.

Design/methodology/approach – The authors use secondary data on policies and trends over the past 40 years for preschool, primary/junior high school, and high school.

Findings – The trends over the past 40 years in all areas of rural schooling have been continually upward and strong. While only a low share of rural children attended preschool in the 1980s, by 2014 more than 90 percent of rural children were attending. The biggest achievement in compulsory education is that the rise in the number of primary students that finish grade 6 and matriculate to junior high school. There also was a steep rise of those going to and completing high school. While the successes in upscaling rural education are absolutely unprecedented, there are still challenges.

Research limitations/implications – This is descriptive analysis and there is not causal link established between policies and rural schooling outcomes.

Practical implications – The authors illustrate one of the most rapid rises of rural education in history and match the achievements up with the policy efforts of the government. The authors also explore policy priorities that will be needed in the coming years to raise the quality of schooling.

Originality/value – This is the first paper that documents both the policies and the empirical trends of the success that China has created in building rural education from preschool to high school during the first 40 years of reform (1978-2018). The paper also documents – drawing on the literature and the own research – the achievements and challenges that China still face in the coming years, including issues of gender, urbanization, early childhood education and health and nutrition of students.

Keywords Trends, China, Achievements, Policies, Rural education, Shortcomings

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China Agricultural Economic Review
Authors
Alexis Medina
Scott Rozelle
Number
1
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Abstract: Using three-wave survey data for four villages of Jiangsu Province in China, the present paper examines whether and to what extent off-farm employment affects the technical efficiency of agricultural production. The level of technical efficiency is measured using a stochastic frontier production function approach. Based on estimation results from instrumental variable panel quantile regressions we find that there is a positive significant effect of off-farm employment on the level of farm technical efficiency. We also find that fragmentation of farmland is a barrier to the improvement of technical efficiency. In addition, we find a downward trend in the level of agricultural technical efficiency among our sample. Therefore, the Chinese Government should stimulate agricultural mechanization and the development of farming techniques to improve technical efficiency in the context of increasing off-farm employment.

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Journal Articles
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China & World Economy
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Number
24
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