Research On The Influence Of Trade Margins And Export Domestic Value-added On Wage Premium

Since the reform and opening up,China has experienced a leaping development with a growth rate far exceeding people's expectations.Although China's huge domestic market is an important driving force for sustained economic growth,it is undeniable that global economic integration has provided opportunities for China' s rapid development.However,with the deepening of economic globalization,the impact of international trade,especially export trade,on China' s labor market has been gradually highlighted.The large-scale export expansion has aggravated the inequality of income distribution in China,not only resulting in the wage gap between export and non-export enterprises,but also significantly widening the wage gap between export enterprises,thus exacerbating the overall wage inequality.Recent researches mainly focus on comparing the wage gap between export and non-export enterprises,but ignore the impact on the wage gap between export enterprises.Even if there is,it only focuses on the impact of export growth on wage premium,but ignores the structural differences of export growth between export enterprises.On the other hand,the traditional statistical method only focuses on the enterprises' total export volume,thus it cannot truly reflect the enterprises' value creation and employees'welfare increase.Therefore,based on the global value chain,evaluating the impact of trade margins and export domestic value-added on wage premium has important theoretical and practical significance for further deepening the reform of income distribution and improving the wage level for workers in export enterprises.This study puts forward the decomposition and measurement method of trade margins and export domestic value-added,constructs the theoretical analysis framework of export wage premium from the micro and macro levels,discusses the influencing mechanism of trade margins and export domestic value-added on export wage premium,measures the trade margins and export domestic value-added of industrial enterprises and regions,tests the influencing factors of export wage premium,and offers some policy proposals.The main contents are as follows:Firstly,this study constructs micro and macro-theoretical analysis framework of export wage premium.Based on the global value chain,this study incorporates export trade margins and the domestic value-added into the export wage premium theoretical model,and discusses the mechanism of trade margins and the domestic value-added on export wage premium.In addition,this study divides the regional market potential into the domestic market potential and the foreign market potential,and effectively incorporates them into the macro-theoretical analysis framework.Secondly,this dissertation decomposes and measures the trade margins and the domestic value-added.This study decomposes the export growth of enterprises into quality margin,quantity margin,product variety margin and export market margin,the regional export growth into intensive margin(quality margin,quantity margin,product variety margin,export market margin)and extensive margin.Then this dissertation measures the export domestic value-added of enterprises,and weights the enterprise-level domestic value-added into the regional domestic value-added.Thirdly,using system GMM to empirically analyze the influencing factors of export wage premium.Based on the above micro theoretical analysis results,this dissertation studies the influence of trade margins and export domestic value-added on export wage premium based on the micro-enterprise data.Fourthly,using spatial econometrics to empirically analyze the influencing factors of regional export wage premium.This study firstly examines the effects of the two new economic geography variables(domestic market potential and foreign market potential)on exports wage premium.Then,this dissertation focuses on the impact of trade margins,domestic value-added value and its interaction with foreign market potential on regional wage premium.Finally,this study offers some policy recommendations about how to promote the wage and welfare level of workers in export enterprises and narrow the wage gap between export enterprises.The main conclusions are listed as follows:Firstly,the measurement results of trade margins and export domestic value-added are different among different enterprises.The private enterprises have obvious advantages in product innovation and market development,thus their variety margin and export market margin are the highest.Due to its advanced technology and equipment,foreign-funded enterprises have the highest price margin and domestic value-added.And the state-owned enterprises' price margin is the smallest among them.Secondly,the trade margins and the export domestic value-added have significant influence on the wage premium.The results show that the quantity margin and the variety margin have significant positive influence on export wage premium,the export market margin has significant negative influence on export wage premium,and the price margin has no significant influence on export wage premium.The export domestic value-added has a significant positive impact on the export wage premium.Thirdly,the regional trade margins and the domestic value-added have significant influence on the regional export wage premium.The results show that the regional price margin and quantity margin have significant positive influence on the regional export wage premium,the regional export market margin has significant negative influence on the regional export wage premium,while the regional variety margin and extensive margin have no significant influence on the regional export wage premium.There is an inverted U-shaped relationship between the regional export domestic value-added and the regional export wage premium.Fourthly,the new economic geography variables and their interaction with the export heterogeneity variables have significant influence on the regional export wage premium.The foreign market potential has a negative effect on the regional wage premium,while the domestic market potential has a positive effect on the regional wage premium.The influence of price margin,quantity margin,export market margin and export domestic value-added on regional wage premium is related to the distance of the region to overseas market.Compared with the previous studies,this study has three differences:Firstly,this dissertation defines the connotation of export trade margins and puts forward the decomposition method of the export growth.This method not only considers the intra-enterprise extensive margin caused by the change of product variety and export market,but also considers the extensive margin caused by the entry and exit of export enterprises,thus it doesn't underestimate the contribution of extensive margin.Secondly,this dissertation constructs a theoretical model of export wage premium and reveals the mechanism of export trade margins and export domestic value-added on export wage premium from enterprise level and regional level.This study innovatively incorporated export trade margins and export domestic value-added into the theoretical model of export wage premium,and constructs the micro and macro-mechanism of export wage premium,which gives a new insight into the theory of export wage premium.Thirdly,this dissertation empirically studies the influence of export trade margins and domestic value-added on export wage premium from enterprise level and regional level,and draws new conclusions.