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The Differences in Returns of Education of SOEs and Private Firms in China:A Two-Sector Directed Search and Matching Model
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TitleThe Differences in Returns of Education of SOEs and Private Firms in China:A Two-Sector Directed Search and Matching Model  
AuthorTan Ya and Zhang Qinghua  
OrganizationGuanghua School of Management, Peking University 
Emailtanya0417@163.com,zhangq@gsm.pku.edu.cn 
Key WordsDirected Search and Matching Model; SOEs; Private Firms; Returns of Education 
AbstractThis paper investigates the difference in the returns of education between SOEs and private firms in China by means of a two-sector Directed Search and Matching Model. The model explains that the higher return of education in SOEs may partly due to ability sorting in labor market. Taking latent ability of workers into consideration, the difference in the return of education between the two sectors would be narrow. This paper also does some empirical work which supports the analysis of model. 
Serial NumberWP797 
Time2015-01-13 
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