Abstract
ABSTRACTThis paper analyses the evolution of the Chinese Communist Party (CCP) using micro-data from three nationwide surveys. I examine how party membership affects people’s choice of employment, occupational attainment, and earnings, while including changes in the function of individual attributes and human capital. I endeavor to cover both urban and rural areas and gain a dynamic understanding of the topic.The proportion of people who joined the CCP as they grew older was relatively stable in the three surveys, while the overall education level of party members increased rapidly with time. Party membership and education had a statistically significant and positive effect on non-farm employment choice and earnings, but those effects decreased rapidly over time in rural China. In contrast, party membership and education exerted more and more of an effect on employment choice, occupational attainment, and earnings in urban China. Furthermore, in both rural and urban areas, the rate of return to education and the earnings premium for CCP membership are converging at the same level. This is evidence worthy of attention as it indicates that labor markets throughout the country are becoming integrated.
Highlights
Since the 1980s, the Chinese Communist Party (CCP) has promoted a systemic transition from a planned economy to a market-oriented economy and, despite the ongoing actualization of marketization, has been able to maintain a one-party political system
Through an examination of data from multiple nationwide surveys, including data from both rural areas and cities that were absent from prior studies, we will attempt to produce a profile of CCP members that goes beyond what can be deduced from published information, and gain a dynamic understanding of the changes that marketization has caused in the functions of CCP membership
If we look at overall levels, both the rate of return to education and earnings premiums for CCP members appear to be moving toward convergence
Summary
Since the 1980s, the Chinese Communist Party (CCP) has promoted a systemic transition from a planned economy to a market-oriented economy and, despite the ongoing actualization of marketization, has been able to maintain a one-party political system. Through an examination of data from multiple nationwide surveys, including data from both rural areas and cities that were absent from prior studies, we will attempt to produce a profile of CCP members that goes beyond what can be deduced from published information, and gain a dynamic understanding of the changes that marketization has caused in the functions of CCP membership. This is different from a political science approach dealing with the organization and function of the CCP, but we believe that it holds great significance in forming a deeper, more versatile understanding of the Party
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