Since the 1980s, China has been undertaking a transition from a centrally planned economy to a market economy through decentralisation, giving local states more decision-making power and providing incentives to apply entrepreneurial policies. This policy has been successful in terms of economic...

A long-standing puzzle in labor economics has been the positive relationship between wages and firm size. Even after controlling for worker's observed characteristics such as education, work experience, gender, and geographic location, a significant firm size wage effect averaging 15 percent...