Spatial Wage Disparities Study On Yangtze River Delta And Pearl River Delta

In this paper we take advantage of a data set to quantify the role of one of the main contenders—the matching of workers and jobs as well as personal characters and firms characters. We find the three sectors all have a positive effect on wage. And we show that thicker labor markets are associated with more assortative matching in terms of worker and firm quality. The paper put together the match in terms of worker and firm quality and the labor market destiny, we show that the benefit of the economics concentration. According to the paper’s study, one region will get a balanced outcome which is high skill staffs match high quality firms, and low quality employees match low quality firms. Therefore, the Yangtze River Delta will gather more high-tech enterprises, high-skill employees, and there will be the opposite tendency in the Pearl River Delta and this will result to the bigger wage gap between the two regions.