Abstract
ABSTRACT This study investigates the impact of the cadre parent premium on wages and promotions for the experienced labour force in China. It also explores the underlying transmission channels. Approximately 50% of the cadre parent premium can be explained by the close relationship with government officials, managers, and people in publicly owned enterprises. For the offspring in the above-median income group, the cadre parent premium can be explained by the differences in quality of the human capital and the specific job characteristics.
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