Analysis Of The Difference Of Educational Rate Of Return Between Urban And Rural Areas

Under the background of economic system reform,the rapid development of the economy puts forward higher requirements for labour productivity.At the same time,the labour productivity of society is closely related to human capital,and education,as a representative factor of human capital,indirectly affects the development level of labour productivity.A balanced rate of return on education is of great benefit to the long-term development of labour productivity.However,in reality,the rate of return on education is often unequal,especially between regions.If you look at the world,the difference in the rate of return on education between regions is the most common form of difference in the world,and the same is true in China.However,due to the implementation of China’s household registration system,China has created a special regional education return rate difference that is different from the traditional regional differences,that is,the urban and rural education return rate difference.With the in-depth implementation of the household registration system and the further separation of urban and rural areas,the difference in the return rate of urban and rural education in China has always been high.The huge difference in the return rate of urban and rural education has further exacerbated the dualisation of urban and rural income,seriously hindering the balanced development of urban and rural economic income.At the same time,the low educational income in rural areas has curbed the enthusiasm of individuals to invest in education,which is not conducive to the balanced development of education in China.Therefore,it is necessary to conduct a detailed study of the difference in the rate of return of urban and rural education.By observing the specific changes of the difference in the rate of return of urban and rural education,we can grasp its dynamic trend,and implement corresponding policies to control the range of differences,so as to promote the fair development of income and education.We mainly uses 2012-2018 data of Chinese General Social Survey to estimate the difference in the return rate of education between urban and rural areas by using the differential form of Minser extension equation.On this basis,we first uses the method of sub-samples to determine the main sample of the return rate of urban and rural education and observes the time change trend of its differences in detail.Secondly,we explores the impact of different employment statuses on the difference between urban and rural education rate of return in combination with the theory of market discrimination,and uses the method of sample differentiation and Oaxaca-Blinder decomposition to verify the above impact mechanism,and further refines the classification of employment status and analyses different employment in the state of employees.The state has a deep impact on the differences between urban and rural areas.In addition,we also uses the methods of difference and decimal regression to analyse the heterogeneity of the main sample.Finally,in order to ensure the accuracy of the results,Heckman and Cotton decomposition were used to replace the above difference model and Oaxaca-Blinder model to test their robustness.Through the research,we found that:(1)The difference in the rate of return on urban and rural education in China mainly comes from the urban-rural differences of men,and since 2012,it has shown a rising and then downward trend.Its inflection point is roughly the same as the implementation time of the reform of the household registration system.(2)The difference in the rate of return on men’s urban and rural education is closely related to the employment status.Combined with Berker’s theory,it may stem from urban-rural discrimination against employees in society.Therefore,after being divided according to the status of employment,the results show that the difference between urban and rural areas only exists in employees.(3)Further classify the employment status of employees and find that there are large differences in the rate of return on urban and rural education in management positions and units working in non-enterprises,which may be related to the importance of household registration in the wage decision mechanism under different employment conditions.(4)Further analysis of the heterogeneity of male subjects found that there is significant regional heterogeneity and income heterogeneity.