Gewei Wang’s research while affiliated with University of Nottingham Ningbo China and other places

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Publications (8)


Decoupling of Emissions and GDP: Evidence from Aggregate and Provincial Chinese Data
  • Article

March 2018

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34 Reads

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80 Citations

Energy Economics

Gail Cohen

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Gewei Wang

We provide a comprehensive analysis of the relationship between greenhouse gas (GHG) emissions and GDP in China using both aggregate and provincial data. The trend or Kuznets elasticity is about 0.6 for China, higher than that in advanced countries but below that of major emerging markets. The elasticity is somewhat lower for consumption-based emissions than for production-based emissions, providing mild evidence consistent with the “pollution haven” hypothesis. The Kuznets elasticity is much lower for the last three decades than for the three previous decades, suggesting a longer-term trend toward decoupling as China has become richer. Further evidence of this comes from provincial data: richer provinces tend to have smaller Kuznets elasticities than poorer ones. In addition to the trend relationship, we find that there is a cyclical relation also holding in China.




Minimum Wages and Firm Employment: Evidence from China

January 2014

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84 Reads

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15 Citations

SSRN Electronic Journal

This paper studies how minimum wage policies affect firm employment in China using a unique county level minimum wage data set matched to disaggregated firm survey data. We investigate both the effect of imposing a minimum wage, and the effect of the policies that tightened enforcement in 2004. We find that the average effect of minimum wage changes is modest and positive, and that there is a detectable effect after enforcement reform. Firms have heterogeneous responses to minimum wage changes which can be accounted for by differences in their wage levels and profit margins: firms with high wages or large profit margin increase employment, while those with low wages or small profit margin downsize. The increase in enforcement of China’s minimum wage in 2004 has since amplified this heterogeneity, which implies that labor regulation may reduce the monopsony rent of firms. Our results provide evidence for the theoretical predictions of the positive minimum wage-employment relationship in a monopolistic labor market.



Minimum Wages and Firm Employment: Evidence from China

January 2014

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21 Reads

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22 Citations

SSRN Electronic Journal

This paper studies how minimum wage policies affect firm employment in China using a unique county level minimum wage data set matched to disaggregated firm survey data. We investigate both the effect of imposing a minimum wage, and the effect of the policies that tightened enforcement in 2004. We find that the average effect of minimum wage changes is modest and positive, and that there is a detectable effect after enforcement reform. Firms have heterogeneous responses to minimum wage changes which can be accounted for by differences in their wage levels and profit margins: firms with high wages or large profit margin increase employment, while those with low wages or small profit margin downsize. The increase in enforcement of China’s minimum wage in 2004 has since amplified this heterogeneity, which implies that labor regulation may reduce the monopsony rent of firms. Our results provide evidence for the theoretical predictions of the positive minimum wage employment relationship in a monopolistic labor market.



Citations (8)


... Equally important is the need to understand how the different specifications of including trade in emissions accounting may vary, considering the differential roles of producer, consumer, and intermediary trading countries in reducing emissions. Indeed, previous studies have discussed and estimated the disparity in results between the conventional production-based emissions accounting approach versus a more consumptionbased approach in which trade (i.e., imports and exports) is also adjusted for 7,9,[11][12][13][14] . ...

Reference:

Adjusting agricultural emissions for trade matters for climate change mitigation
Decoupling of Emissions and GDP: Evidence from Aggregate and Provincial Chinese Data
  • Citing Article
  • January 2018

SSRN Electronic Journal

... Esta corriente teórica estipula que un incremento en el salario mínimo obligatorio generaría desempleo involuntario y reduciría el empleo (bajo el supuesto de que las funciones de oferta y demanda de trabajo no cambian como resultado del incremento del salario mínimo). Entre los trabajos cuyos resultados coinciden con las predicciones de este enfoque teórico en la literatura se encuentran: Neumark & Wascher (Brown, 1999), Burkhauser, Couch, & Wittenburg (2000), Zavodny (2000), Pereira (2003), Alatas & Cameron (2008), Huang, Loungani, & Wang (2014), Clemens & Wither (2019), entre otros. ...

Minimum Wages and Firm Employment: Evidence from China
  • Citing Article
  • January 2014

SSRN Electronic Journal

... In 2008, China's Labor Contract Law came into effect, significantly increasing the percentage of workers with formal labor contracts (Freeman and Li 2015;Gallagher et al., 2015) and contributing to a more consistent enforcement of labor regulations across Chinese cities (Huang et al. 2014). In the absence of a mature mechanism for negotiations between labor and capital, many firms use the local minimum wage rate as their reference point in setting wage levels. ...

Minimum Wages and Firm Employment: Evidence from China
  • Citing Article
  • January 2014

IMF Working Paper

... Guranin, 2018; Dong et al., 2021). The developed DI prevents some unexpected scenarios where the indexes outcomes lead to huge differences across each other because of the use of a different base period (Cohen et al., 2018;Wang et al., 2018;Wu et al., 2018;Yang et al., 2018;Wang and Jiang, 2019). Some scholars have utilized decomposition analysis as a means to analyze the factors that affect the index (Zhao et al., 2016;Meng et al., 2018;Wang et al., 2018). ...

Decoupling of Emissions and GDP: Evidence from Aggregate and Provincial Chinese Data
  • Citing Article
  • January 2018

IMF Working Paper

... Balancing carbon reduction with sustainable economic growth is among China's most pressing challenges (Fu et al., 2021). The nation's economic decisions ripple globally, impacting efforts to mitigate carbon emissions worldwide (Cohen et al., 2019). China has repeatedly pledged solemn commitments to carbon reduction on the international stage and has taken active measures to fulfill these promises. ...

Decoupling of Emissions and GDP: Evidence from Aggregate and Provincial Chinese Data
  • Citing Article
  • March 2018

Energy Economics

... Fang and Lin (2015) use data from the Urban Household Survey (UHS) and find that minimum wage increases have significant negative effects on employment in the Eastern and Central regions of China. Huang et al. (2014) study a sample of neighbor county pairs with difference in minimum wage hikes and find that minimum wage increases have no significant adverse effect on employment during 2000-2002, and the effect of minimum wage increases becomes highly significant and more negative during 2003-2007. The relationship between minimum wages and income inequality is more consistent. ...

Minimum Wages and Firm Employment: Evidence from China
  • Citing Article
  • January 2014

... Moreover, the conditions and development of companies and cities may affect local CO2 emissions, which may have an impact on urban temperature changes (Ang, 2007). Therefore, we refer to Jin et al. (2020) and control the firm-level variables such as firm size (SIZE), asset-liability ratio (LEV), equity concentration (OW) and fixed asset ratio (FIX), as well as city-level variables 1 such as regional population (POPU), regional GDP, industrial pollution control costs (POL) and foreign investment (INV) in the benchmark regression to mitigate endogeneity problems arising 1 It should be noted that since county-level data of industrial pollution control costs and foreign investment are not available, we refer to the existing literature and set all regional control variables at the municipal level (Huang et al., 2014;Feng et al., 2015;Gan et al., 2016;Mo, 2018;Kasahara and Li, 2020). from omitted variables. ...

Minimum Wages and Firm Employment: Evidence from China
  • Citing Article
  • January 2014

SSRN Electronic Journal

... In addition, Chinese firms may expect higher productivity from workers in receipt of a higher minimum wage, even increasing employment if wage levels and profit margins are high (Huang et al., 2014). Since the beginning of China's economic reforms, labour productivity has remained high despite workers' deteriorating bargaining power and declining wage share (Piovani, 2014). ...

Minimum Wages and Firm Employment: Evidence from China
  • Citing Article
  • January 2014

SSRN Electronic Journal