Embedded Position of Global Value Chain, Quality of Export Products and Wage Gap
WANG Zirui1,2, LIU Junting3, DONG Dandan3
1. School of International Economics and Business, Henan University of Economics and Law, Zhengzhou, 450046, China; 2. Postdoctoral Mobile Station of Applied Economics, Henan University, Kaifeng 475000, China; 3. School of Finance and Trade, Liaoning University, Shenyang 110036, China
Abstract Using the relevant data and yearbook data from Chinese industrial enterprise database, customs database and WIOD database, this paper empirically analyzes the impact of enterprises embedded global value chain on wage gap, and the role of export product quality in the relationship between global value chain and wage gap. The results show that the position of enterprises embedded in the global value chain has a significant positive impact on the wage gap. This conclusion is still valid after endogenesis test and robustness test. The mechanism test results indicate that the improvement of the status of the global value chain will improve the product quality, while the improvement of product quality will widen the wage gap. Heterogeneity analysis shows that the rising status of mixed trade enterprises and private enterprises in the global value chain has a significant positive impact on the wage gap. On the other hand, the change of the position of enterprises with only one mode of trade, state-owned enterprises, foreign capital and Hong Kong, Macao and Taiwan-funded enterprises in the global value chain does not affect the wage gap. Based on the above research conclusions, this paper puts forward corresponding policy recommendations from the aspects of increasing R&D investment, improving the intellectual property protection system, raising the level of human capital of low-skilled labor, increasing the supply of high-skilled labor and focusing on reducing the income level of low skilled workers.
WANG Zirui,LIU Junting,DONG Dandan. Embedded Position of Global Value Chain, Quality of Export Products and Wage Gap. Economic Survey, 2023, 40(5): 086.
2023, Vol. 40 
