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Table 5 The determinants of the minimum wages at the city level, OLS

From: Regional variation of the minimum wages in China

  Dependent variable =
Log(highest minimum wage within a city) Log(lowest minimum wage within a city)
(1) (2) (3) (4) (5) (6) (7) (8)
Ln(GDP per capita) 0.138c 0.103c 0.0389c 0.00738 0.128c 0.0711b 0.0147 −0.00956
(0.0239) (0.0328) (0.0138) (0.0216) (0.0229) (0.0311) (0.0205) (0.0298)
Employment rate −0.120 −0.152 0.0292 0.0314 −0.212 −0.234 0.0365 0.0433
(0.162) (0.191) (0.0879) (0.174) (0.138) (0.168) (0.116) (0.229)
GDP growth rate −0.221a −0.272b −0.118a −0.00639 −0.0390 −0.174 −0.0834 0.0120
(0.113) (0.115) (0.0675) (0.0832) (0.145) (0.163) (0.0950) (0.0920)
Tertiary sector share 0.280c 0.225c 0.0680b −0.136 0.262c 0.181a −0.0252 −0.102
(0.0672) (0.0731) (0.0287) (0.0897) (0.0919) (0.0941) (0.0551) (0.117)
Private employment share −0.137 −0.244b 0.0378 −0.0249 −0.105 −0.196 0.0150 0.0259
(0.0934) (0.0922) (0.0459) (0.0580) (0.127) (0.120) (0.0629) (0.0535)
FDI share in GDP 0.515a 0.394 0.401a 0.166 0.429 0.173 0.361 0.299
(0.276) (0.316) (0.198) (0.124) (0.384) (0.400) (0.265) (0.190)
Fiscal expenditure/GDP −0.138 −0.0891 −0.119a −0.0815 0.164 0.191 0.114a −0.0433
(0.161) (0.154) (0.0656) (0.111) (0.174) (0.159) (0.0604) (0.133)
Service sector/GDP 0.867 0.663 0.0892 −0.203 0.327 0.675 −0.0169 0.178
(1.184) (1.073) (0.586) (0.684) (1.361) (1.334) (0.538) (0.844)
Per capita number of enterprises 0.0159c 0.00916c 0.00186a −0.00475 0.0200c 0.00944c 0.00323 −0.00573
(0.00360) (0.00303) (0.00102) (0.00400) (0.00437) (0.00336) (0.00208) (0.00546)
Ln(consumption per capita)_rural   0.00858 0.0323 0.00291   0.110b 0.0993c 0.0643
  (0.0434) (0.0194) (0.0370)   (0.0468) (0.0292) (0.0519)
Ln(consumption per capita)_urban   0.258c 0.217c 0.0491   0.252c 0.151c 0.0407
  (0.0712) (0.0394) (0.0682)   (0.0796) (0.0361) (0.0773)
Province dummies No No Yes No No No Yes No
City dummies No No No Yes No No No Yes
Year dummies Yes Yes Yes Yes Yes Yes Yes Yes
N 2042 1866 1866 1866 2042 1866 1866 1866
Adj. R 2 0.846 0.858 0.933 0.951 0.791 0.819 0.909 0.940
  1. Standard errors in parentheses; a, b, and c represent significance levels of 10, 5, and 1 %, respectively