Policy Reform In China Research Articles

The effects of Dibao programme on adolescent academic performance: evidence from seventh-grade students in China

ABSTRACT China’s Dibao is one of the largest cash transfer programmes in the world, serving as a ‘last safety net’. However, evidence regarding the effect of Dibao on children’s educational outcomes and its mechanisms remains limited. Using data from the China Education Panel Survey (CEPS) and employing a combined propensity score matching and difference-in-differences (PSM-DID) approach, this study examined the association between Dibao participation and adolescent academic performance in China and explored the potential influence mechanisms in this relationship. The results showed that Dibao had significant positive effects on adolescent academic performance. Moreover, the positive effects of Dibao on academic performance were stronger among urban adolescents, boys and adolescents living with their parents. Attending remedial class, expenditure of remedial class, frequency of communication with parents, having home-school communication, attitudes towards learning, and self-confidence about the future were important influence channels in the relationship between Dibao participation and adolescent academic performance. Our findings suggest that cash transfer programmes such as China’s Dibao can go beyond the safety nets to make ends meet. Dibao’s potential role in boosting adolescents’ human capital in poor families provides important implications for policy reform in China as well as in other developing countries.

Scoping review of kindergarten research involving the Classroom Assessment Scoring System (CLASS) in Mainland China

AbstractLike many countries, Mainland China is committed to improving process quality in kindergartens (children aged 3 to 6), specifically the quality of teacher–child interactions. The Classroom Assessment Scoring System (CLASS; Pianta, 2008, in Classroom Assessment Scoring System™: Manual K-3, Paul H Brookes Publishing, Baltimore) is a widely used tool to assess and potentially improve interactional quality. While CLASS has been increasingly used by researchers in China, much of the literature has been published in the Chinese language and, thus, is inaccessible to international readers. To overcome this barrier, this scoping review analyzes existing empirical research involving CLASS in Chinese kindergartens. Publications in English and Chinese were considered. Fifty-five peer-reviewed articles published between 2008 and 2023 were included. Most studies were conducted in public kindergartens in urban areas and developed regions of China, adopting quantitative research designs with relatively small sample sizes. We identified six different types of research purposes. Many of the available studies did not follow established CLASS procedures. We conclude that the evidence available for enhancing teacher–child interactional quality and supporting policy reforms in China remains somewhat weak. We encourage Chinese researchers and policymakers to implement CLASS in large-scale teacher performance evaluations and professional development studies.

Reshaping unfairness perceptions: Evidence from China's Hukou reform

This study investigates the impact of China's 2014 Hukou reform, which significantly relaxed barriers to internal migration, on local urban residents' perceptions of unfairness. Using data from the China Family Panel Studies, we find that exposure to increased in-migration following the reform heightened locals' perceptions of unfair treatment due to wealth inequality and Hukou status. Locals also expressed less tolerance for wealth gaps and reduced materialistic wealth recognition. These shifts in social attitudes indicate that inter-group contact through migration can reshape native residents' notions of fairness and equity. Our findings suggest implementing progressive policies may become more feasible in the wake of migration reforms by altering social views. Overall, our work sheds light on the societal impacts of internal migration and Hukou policy reforms in China.

Inter-regional barriers and economic growth: Evidence from China

This paper examines the impact of a policy reform in China that removed inter-regional market barriers by incorporating counties into larger prefecture-level divisions. Employing a difference-in-differences approach, we compare the economic performance of incorporated counties before and after the reform to two control groups: counties that applied for incorporation but were unsuccessful, and counties that were incorporated at a later time. Our findings suggest that the reform had an immediate and sustained positive effect on the economic growth of incorporated counties. Using firm-level data, we provide evidence that the reform reduced policy-induced frictions, leading to increased regional specialization in industries with comparative advantage, more entries of new firms, and more exits of low-profit-margin firms. Overall, the research highlights the importance of reducing inter-regional market barriers in promoting economic growth in developing countries.

Can the deregulation of market access reduce the cost of corporate debt financing: A quasinatural experiment based on the “negative list for market access” pilot project

Based on the quasinatural experiment of implementing the “negative list for market access” pilot project in batches in different provinces of China from 2016 to 2017, we use the difference-in-differences (DID) method to test the impact of the deregulation of market access on the cost of corporate debt financing. Our results show that (1) the deregulation of market access can significantly reduce the cost of corporate debt financing; (2) the mechanism test shows that the mechanism for reducing the cost of corporate debt financing is to reduce transaction costs; (3) the implementation of the pilot project has a significant effect on reducing the debt financing cost of companies in regions with low marketization degree of credit fund allocation or of non-SOE firms; (4) after implementing the pilot project, the proportion of corporate debt financing in total financing increased. Deregulating market access is an important part of supply-side structural reform (in short, supply-side reform), an economic policy reform in China starting in 2015. This research enriches the literature on the “cost reduction” of China's supply-side reform.

The Exploration of the Reasons for Alibaba to List on the New York Stock Exchange (NYSE) in 2014

Alibaba made an important announcement on August 8 in 2022, showing that its requirement about applying to the Hong Kong Stock Exchange for a dual primary listing in Hong Kong and New York had been confirmed and approved by the Hong Kong Stock Exchange. Unquestionably its such a crucial action that was done by Alibaba to expand its market and finance further after its first controversial large-scale Initial Public Offerings (IPO) on the New York Stock Exchange (NYSE) in 2014. The listing process of Alibaba created a sensation in the world that gave rise to the discussion about the reasons and effects of this decision for the company itself and the IPO market in China in recent years. The current study summarized the previous professional articles on these discussions to explore the key reasons for Alibaba to choose to list on the NYSE and the changes in the thoughts of this decision due to the changing times. Although this decision let Alibaba slip into a more competitive global business environment and resulted in the query for its unique governance structure, listing on the NYSE was still more beneficial for Alibaba at that time. The proper unprecedented determination brought greater growth opportunities for Alibaba and provided guidance for future companies. With the development of the times and policy reform in China, the methods of Initial Public Offerings in the companies certainly tend to be more varied and exoteric that need to be innovated and dialectically treated.

The spatial spillover effect of higher SO2 emission tax rates on PM2.5 concentration in China

In this paper, the adoption of SO2 emission tax rates higher than the legal minimum standard is regarded as a noteworthy policy reform in China (quasi-natural experiment), and a spatial Difference-in-Differences (Spatial-DID) model is constructed to test the direct effects (local effects) and indirect effects (spatial spillover effects) of SO2 emission tax policy reform on PM2.5 concentrations in the atmosphere of 285 China’s cities. The estimation and calculation results of the Spatial-DID model show that the SO2 emission tax policy reform can significantly reduce local PM2.5 concentration and significantly promote PM2.5 concentration in surrounding areas. The results of heterogeneity analysis show that the SO2 emission tax policy reform can produce a relatively more beneficial spatial spillover effect in eastern cities and higher administrative level cities, while the pollutants emission rights trading and the reform of NOx emission tax rates can produce beneficial spatial spillover effects when cooperating with the reform of SO2 emission tax rates. The results of the mediation effect analysis show that the higher SO2 emission tax rate can aggravate the surrounding PM2.5 pollution by promoting the aggregation level of industrial production factors and the industrial SO2 emission intensity in the surrounding areas, which can support the existence of the pollution heaven effect.

China's Rural Areas toward 2035: Vision, Challenges and Strategies

Rural revitalization and development are mainly based on the urban-rural integration, which can be regarded as a key factor for China's rural land-use policy reform. This paper focuses on the research of the theory, technology, and management of rural revitalization from the perspective of the human-earth areal system. Firstly, this paper constructs the regional digital economy development evaluation index system according to the three-step selection process of indicators. Secondly, this research uses land engineering for land capacity building as the technical support to solve rural issues and constructs a framework of rural land management policy reform in China. Finally, the research results show that the consolidation of hollowed villages as well as gullied, degraded, and sandy land for highstandard farmland has been implemented, providing an important approach in improving land productivity. Collaboration among policymakers, multilateral organizations, and the private sector is crucial in filling gaps in solving the current problems.

Family socioeconomic status and the parent–child relationship in Chinese adolescents: the multiple serial mediating roles of visual art activities

BackgroundIn light of the recent policy reform in China, the present study aims to investigate the potential impact of family SES on the quality of the parent–child relationship (PCR) through the serial mediating role of participation in organized visual art activities in privately owned centers (VAA1) and parent-supervised visual art activities (VAA2) across genders.MethodA cross-sectional study was conducted in anonymous province located in the southwestern part of China. A total of 1624 primary school students aged 7 to 14 years were recruited through a random sampling technique. Subsequently, anonymous survey responses were taken from all students. Multiple serial mediation analysis was performed by using AMOS 21.0 software to attain the primary aim of the study.ResultAccording to the total sample model result, SES has a significant direct effect on the parent–child relationship (β = 0.47, p < 0.001), children’s participation in VAA1 (β = 0.197, p < 0.001) and VAA2 (β = 0.269, p < 0.001). Moreover, the mediation model result indicates that SES has a stronger indirect effect on the parent–child relationship through a mediating role of VAA1 (βgirl = 0.08, p < 0.01; βboys = 0.04, p < 0.01) for female than male samples. However, the mediating effect of VVA2 between SES and the parent–child relationship in the female (β = 0.08, p < 0.001) and male (β = 0.08, p < 0.01) models is equal, although female gender is highly significant. Ultimately, the serial mediation analysis result affirms that the serially mediating role of VAA1 and VAA2 between SES and the parent–child relationship was equal across genders (βboys = 0.001, p < 0.001; βgirls = 0.001, p < 0.001).ConclusionUnlike previous studies, this study’s multigroup model shows that both male and female children can equally restore their relationship with their parents by having substantial participation in both VAA1 and VAA2. Thus, parents ought to play the main role in facilitating and supporting children’s visual art activities without parenting that shows a gender bias.

The Impact of Intranational Trade Barriers on Exports: Evidence from a Nationwide Vat Rebate Reform in China

It is well known that various forms of non-tariff trade barriers exist within a country. Empirically, it is difficult to measure these barriers as they can take many forms. We take advantage of a nationwide VAT rebate policy reform in China as a natural experiment to identify the existence of these intranational barriers due to local protectionism and study the impact on exports and exporting firms. As a result of shifting tax rebate burden, the reform leads to a greater incentive of the provincial governments to block the domestic flow of non-local goods to local export intermediaries. We develop an open-economy heterogenous firm model that incorporates multiple domestic regions and multiple exporting technologies, including the intermediary sector. Consistent with the model's predictions, we find that rising local protectionism leads to a reduction in interprovincial trade, more inward-looking sourcing behavior of local intermediaries, and a reduction in manufacturing exports. Analysis using micro firm-level data further shows that private companies with greater baseline reliance on export intermediaries are more adversely affected.

The Impact of Intranational Trade Barriers on Exports: Evidence from a Nationwide Vat Rebate Reform in China

It is well known that various forms of non-tariff trade barriers exist within a country. Empirically, it is difficult to measure these barriers as they can take many forms. We take advantage of a nationwide VAT rebate policy reform in China as a natural experiment to identify the existence of these intranational barriers due to local protectionism and study the impact on exports and exporting firms. As a result of shifting tax rebate burden, the reform leads to a greater incentive of the provincial governments to block the domestic flow of non-local goods to local export intermediaries. We develop an open-economy heterogenous firm model that incorporates multiple domestic regions and multiple exporting technologies, including the intermediary sector. Consistent with the model’s predictions, we find that rising local protectionism leads to a reduction in interprovincial trade, more “inward-looking” sourcing behavior of local intermediaries, and a reduction in manufacturing exports. Analysis using micro firm-level data further shows that private companies with greater baseline reliance on export intermediaries are more adversely affected.

Understanding Chinese national vocational education reform: a critical policy analysis

ABSTRACT Drawing on Carol Bacchi’s post-structural analytical approach, this study examines the nature of recent policy reforms in China in relation to vocational education (VE). The article reveals key problem representations that characterise the Implementation Plan of National Vocational Education Reform (IPNVER) issued by the State Council of the People’s Republic of China (PRC) in 2019, and how these have arisen in light of previous reforms. These previous reforms relate to China’s policies, laws and regulations with respect to the higher vocational education system since the ‘opening up’ in 1978. The study reveals that the VE policy in China is strongly governed by ‘economic logics’ in the context of neoliberal globalisation, even as it exhibits various ‘Chinese characteristics’, and that developing VE is seen as a solution to promoting Chinese economic and social development. However, at the same time, important issues are also ‘silenced’ as a result of the dominance of more economic logics in national VE policy. The article suggests policymakers need to pay more attention to developments in regional education, the social welfare issues of poorer working urban and rural peoples, and the mental health of citizens, while developing the national economy.

Does pension affect labour supply? New evidence from large-scale rural pension policy reform in China

ABSTRACT Using national longitudinal survey data, we study how the Chinese New Rural Pension Scheme (NRPS) reform affects the rural labour supply structure of individuals aged 20–70. Applying multiple regression approaches, we find NRPS does not significantly affect Chinese rural residents’ weekly working hours, labour force participation, or migration choices; only those aged 50–59 change their labour supply pattern after joining the pension system. Parental pensions motivate adult children to migrate out only when both parents receive pensions. Various factors are explored to understand our findings; the low subsidy that Chinese rural pensioners currently receive is the major factor. These results indicate that from the perspective of improving the welfare of the rural elderly and encouraging the more free flow of young rural labour force, it is necessary to increase the compensation level of NRPS.

How do VAT reforms in the service sectors impact TFP in the manufacturing sector: Firm-level evidence from China

This paper estimates the impact of a pilot policy reform in China that replaced the business tax (BT) with a value-added tax (VAT) for the service sectors on the total factor productivity (TFP) of manufacturing firms. Employing a difference-in-differences (DD) estimation approach, our results show that through forward and backward linkages (FLs and BLs, respectively) along the value chain, this pilot program has a positive effect on manufacturing firms’ TFP. A 1% increase in FLs (BLs) leads to an approximately 7% (16%) increase in firm productivity. This effect is larger for non-state-owned enterprises and labor-intensive firms than for other firms. Manufacturing firms with high intensities of exporting activities are affected only through BLs. Further exploration shows that this increase in productivity is realized mainly through increased specialization of firms. Our findings imply that simplification and unification of the tax system across sectors can help boost firm productivity.

Inter-Regional Barriers, Market Integration, and Economic Growth: Evidence from China

This paper studies the impact of a policy reform in China that removed inter-regional market frictions by incorporating counties into prefectures with a larger market. Using a difference-in-differences approach, we compare incorporated counties, both before and after the reform, to two novel control groups: counties that applied for incorporation but failed and counties that would be incorporated several years later. We find that the reform immediately and persistently increased the economic growth of incorporated counties. Several sources of evidence suggest that treated counties experienced relatively rapid growth because they became more integrated into the domestic market.

HOW WILL THE LAND REVENUE POLICY REFORM AFFECT CHINA’S ECONOMY? A SIMULATION ANALYSIS BASED ON GENERAL EQUILIBRIUM

The aim of this paper is to simulate the effect of land revenue policy reform in China under the shock of tax policy reform. To this end, this research has built a computable general equilibrium model and collected data from China’s input–output table for 2017 to construct the China land revenue social accounting matrix for 2017. Five scenarios of land reform policy have been considered. The first scenario concerns a reduction in the construction land supply; the simulation shows that the reform will lead to increasing real estate prices, which will result in a crowding-out effect for the manufacturing industry. The second scenario involves levying a property tax nationwide, which will restrain the trend of the increase in the real estate price and increase the local governments’ revenue, although household income and economic growth will be restrained. The third scenario has to do with a reduction in the deed tax. The simulation shows that this reform can alleviate the negative impact on the economy. The fourth scenario is related to a combination of the first and second scenarios, which will lead to a decrease in employment demand and an increase in land financial revenue. Finally, the fifth scenario is also a combined policy involving the first, second and third scenarios, which will result in higher urban and rural household income than the fourth scenario.

Does Health Insurance Mitigate the Consumption Fluctuation under Health Shock of Chronic Disease? Evidence from a Policy Reform in China

Chronic disease is a kind of health shock that most people cannot avoid, which will increase households' medical expenditure and probably decrease other consumptions. Health insurance is a formal mechanism against health shocks. Theoretically, the integration policy of rural and urban residents medical insurance in China increases coverage level and reimbursement ratio of basic medical insurance, and thus can help smooth consumption better. Our study is aimed to test it empirically. Based on the data of China Household Finance Survey(CHFS) in 2015 and 2017, we use the strategy of difference-in-difference(DID) to investigate whether the fluctuation of household consumption caused by chronic diseases is mitigated by the policy reform. It is found that chronic diseases will cause the dicrease of household food and nonfood consumption and the increase of self-paid medical expenditure. But the integration policy significantly smooths the fluctuation of food consumption and self-paid medical expenditure, and plays no role for nonfood consumption.

Evaluation of Scientific and Technological Research in China’s Colleges: A Review of Policy Reforms, 2000–2020

Purpose: This study conducts a systematic review of policy reforms for the evaluation of scientific and technological research (E-STR) in China’s colleges. In doing so, it identifies changes to past policies, as well as the objectives and realizability of the most recent policy reform. Design/Approach/Methods: This study systematically reviews the contexts of E-STR policy reforms in China’s colleges post 2000 using three important related policy documents from 2003, 2013, and 2020 as samples. Research findings were obtained via content analysis. Findings: Unlike previous attempts, the most recent policy reform has incorporated the lessons learned while introducing highly targeted measures and a monitoring mechanism. Such reform should accelerate the promotion of major original scientific research in China’s colleges, enhance the contribution of scientific research to socioeconomic development, and strengthen support for the cultivation of undergraduate talents. Originality/Value: Initiated in the early part of 2000, China’s latest E-STR policy reform constitutes an important turning point in the initiative to burst the research bubble and return to the essence of innovation. It will drive China’s colleges to embark on a research path that places value on original innovation and contribution to socioeconomic development.

Reflections on Foreign Language Education Policy Reform in China Under the Background of “One Belt and One Road” Initiative

Reflections on Foreign Language Education Policy Reform in China Under the Background of “One Belt and One Road” Initiative

Attitudes toward welfare spending in urban China: evidence from a survey in two provinces and social policy implications

What explains divergent levels of support for welfare spending in a non-Western authoritarian state? Can self-interest and ideology, two major theoretical frameworks from cross-national research, explain attitudinal patterns in China? Using data collected from an original survey in two provinces in 2017, we examined urban Chinese attitudes toward welfare spending. We focused on three social policy domains with distinctive characteristics: education, healthcare, and poverty alleviation. All domains received fairly high levels of support for increased spending from our sample. Our regression models suggest that self-interest and ideology are both associated with welfare attitudes in urban China, but self-interest variables operate in unexpected ways, reflecting the distinctive socio-economic and cultural context in which welfare attitudes are formed. This study concludes with broad policy implications for social policy reform in China.