We provide evidence that promotion incentives influence the effort of public employees by studying China's system of promotions for teachers. Predictions from a tournament model of promotion are tested using retrospective panel data on primary and middle school teachers. Consistent with theory,...

We provide the first evidence that promotion incentives can influence effort of employees in the public sector by studying China's system of annual evaluations and promotions for teachers. Theoretical predictions from a tournament model of promotion incentives are tested using panel data on...

We provide evidence that promotion incentives influence the effort of public employees by studying China's system of promotions for teachers. Predictions from a tournament model of promotion are tested using retrospective panel data on primary and middle school teachers. Consistent with theory,...

Because of China's socialist legacy, until recently little attention has been paid to the rise of informal employment. Under planning urban workers enjoyed guaranteed employment, housing, pensions, and health care. The prevalence of informal employment has important implications for public...

Using data from a national survey of Chinese manufacturing firms conducted in 2009, the authors analyze the impact of implementation of China's 2008 labor contract law on the employment of production workers. The authors found that cities with lax prior enforcement of labor regulations...

We develop tests of financial intermediation by national banking systems that exploit regional financial and economic data. Derived from a model of bank profit maximization, the tests are based on the expectation that in efficient systems, financial intermediation should not be overly influenced...

In low-income countries, primary school students often fall far below grade level and primary dropout rates remain high. Further, in some countries, educators encourage their weaker students to drop out before reaching the end of primary school. These educators hope to avoid the negative...