Underdeveloped High Skill Services in China

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Date: November 21, 2019
Time: 12:30 p.m. - 2:00 p.m.
Location: Faculty/Administration #4339 | Map
656 W. Kirby
Detroit, MI 48202
Category: Seminar

Albert Zhu

Department of Economics

Wayne State University


Underdeveloped High Skill Services in China

This paper aims to explain the low share of labor employment in high skills services sector in China (7%) compared to average of comparable countries (17%).  We use a structural change model with low and high skill service sectors, and labor mobility frictions between rural and urban areas to evaluate potential explanations.  The sodel predicts that the Hukou system and the low supply of high skilled workers contribute to the underdevelopment of high skill services in China. We argue that while distortions exist in China’s services sectors, the number of public employees in high skill services sectors is not qualitatively different from other countries.


Shooshan Danagoulian




Current Graduate Students, Current Undergraduate Students, Faculty

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