Abstract

AbstractThe goal of this research is to ascertain the employment status probabilities and the determinants of monthly wages of employees in China in order to provide a much‐needed, more accurate and widely acceptable documentation of informal employment in China on the basis of the International Statistical Standard Definition. This study will use Lee's model to correct for selection bias. The results show that employment status probabilities are mainly determined by sex, age, experience, ethnic status, education, region and migrant status, while monthly wages of informal employees are mainly affected by sex, education, region, firm size, city size and migrant status.

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