Ran Song - Yale University
Date: 10/28/2019 (Mon)
Time: 11:45am- 1:00pm
Location: 327 Social Sciences
Organizer: Daniel Garrett
Meeting Schedule: (Not currently open for scheduling. Please contact the seminar organizer listed above.)
11:45am - Seminar Presentation (11:45am to 1:00pm)
Additional Comments: Abstract: Using an equilibrium sorting model and rich micro data, we evaluate the impacts of constraints on mobility and housing supply on workers’ sorting behavior and quantify the resulting aggregate welfare changes in China. We find that lowering migration costs induces workers to resort from inland cites into coastal cities and from small cities to large cities, with a welfare gain of $338.68 for an average Chinese worker. Relaxing housing supply constraints has a smaller re-sorting effect, yielding an average welfare gain of $179.04. Results highlight the extent to which reducing frictions in spatial sorting can increase well-being by moving workers from under- to highly-developed regions.