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Table 4 Oaxaca-Blinder decomposition of the gap in the average probability of having an informal sector job

From: Are migrants discriminated against in Chinese urban labour markets?

  Self-employed and Self-employed Without a contract
  without a contract   
A: W=1 coef. s.e. % coef. s.e. % coef. s.e. %
Rural migrants vs.          
urban residents          
Difference 0.337 0.002   0.087 0.001   0.250 0.002  
Explained 0.059 0.001 17 0.035 0.001 41 0.023 0.001 9
Unexplained 0.279 0.002 83 0.051 0.001 59 0.227 0.002 91
Urban migrants vs.          
urban residents          
Difference 0.166 0.003   0.057 0.002   0.109 0.003  
Explained 0.028 0.001 17 -0.005 0.001 -9 0.034 0.001 31
Unexplained 0.138 0.003 83 0.062 0.002 109 0.075 0.003 69
Urban migrants vs.          
rural migrants          
Difference -0.171 0.004   -0.030 0.002   -0.141 0.003  
Explained -0.087 0.003 51 -0.006 0.003 20 -0.081 0.003 57
Unexplained -0.085 0.005 49 -0.024 0.003 80 -0.061 0.005 43
Non-recent migrants          
Difference -0.191 0.006   -0.072 0.005   -0.119 0.006  
Explained -0.100 0.006 52 -0.048 0.005 66 -0.052 0.006 44
Unexplained -0.092 0.008 48 -0.024 0.007 34 -0.067 0.008 56
Recent migrants          
Difference -0.162 0.004   -0.015 0.003   -0.147 0.004  
Explained -0.079 0.004 49 0.007 0.003 -46 -0.086 0.004 59
Unexplained -0.082 0.006 51 -0.022 0.004 146 -0.060 0.006 41
B: W=0 coef. s.e. % coef. s.e. % coef. s.e. %
Rural migrants vs.          
urban residents          
Difference 0.337 0.002   0.087 0.001   0.250 0.002  
Explained 0.047 0.004 14 -0.093 0.003 -107 0.140 0.004 56
Unexplained 0.291 0.004 86 0.180 0.003 207 0.111 0.004 44
Urban migrants vs.          
urban residents          
Difference 0.166 0.003   0.057 0.002   0.109 0.003  
Explained -0.034 0.004 -21 -0.067 0.002 -117 0.033 0.003 30
Unexplained 0.200 0.005 121 0.124 0.003 217 0.076 0.004 70
Urban migrants vs.          
rural migrants          
Difference -0.171 0.004   -0.030 0.002   -0.141 0.003  
Explained -0.098 0.004 57 -0.028 0.003 94 -0.070 0.004 50
Unexplained -0.073 0.005 43 -0.002 0.003 6 -0.071 0.005 50
Non-recent migrants          
Difference -0.191 0.006   -0.072 0.005   -0.119 0.006  
Explained -0.086 0.007 45 -0.048 0.005 67 -0.038 0.006 32
Unexplained -0.105 0.009 55 -0.024 0.007 33 -0.081 0.008 68
Recent migrants          
Difference -0.162 0.004   -0.015 0.003   -0.147 0.004  
Explained -0.105 0.005 65 -0.021 0.003 138 -0.085 0.005 58
Unexplained -0.056 0.006 35 0.006 0.004 -38 -0.062 0.006 42
  1. The decomposition results are based on a linear probability model.
  2. The sample includes individuals aged 16–60 years and who are out of school.
  3. Observations with no or zero income declared were dropped.
  4. Results in panel A (W =1) are calculated based on the counterfactual X ̄ m β ̂ u , and those in panel B (W =0) based on X ̄ u β ̂ m .
  5. Source: 1% population survey of China (2005).