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The labor market outcomes of jurisdictional consolidation

Evidence from city–county mergers in China

Bibliographic Data

ID11079619
AuthorsShiyu Bo (0000-0001-8364-2073, Jinan University, corresponding author), Yi Wang (0000-0003-2228-7009, Jinan University)
Year2025
Volume149
Pages103788
Publication date2025-09-01
Peer ReviewedYes
Open AccessYes
TypeARTICLE
VenueJournal of Urban Economics (JOURNAL)
Journal identifiersISSN: 0094-1190 • E-ISSN: 1095-9068
PublisherElsevier BV (PUBLISHER)
DOI10.1016/j.jue.2025.103788
OpenAlexW4412016982
LanguageEN
Citations received7
References cited37

In this paper, we examine the labor market outcomes of jurisdictional consolidation, focusing on the effect of city–county mergers in China between 2011 and 2018 on the wages of migrant workers and local residents. Under the merger reform, city districts were consolidated with nearby counties, expanding the jurisdiction under the centralized control of the prefecture government. Using a staggered difference-in-differences approach, we find that wages increased by 3.1% for migrant workers and 10.4% for local residents in consolidated jurisdictions. We attribute these effects to local economic growth and the resulting differentiated labor demand for migrant and local workers

Business · China · Consolidation (business · Economics · Political science · China's Socioeconomic Reforms and Governance · Finance · Fiscal Policy and Economic Growth · Local Government Finance and Decentralization

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Citations per year7
Citation span2025 - 2026 (2)
Citation velocitycurrent
Highly citedNo
Citation typesNeutral: 7

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