The Chinese stock market is replete with numerous omitted variables that can introduce biases in the standard estimation of risk premiums when traditional linear asset pricing models are applied. The three-pass method enables the estimation of risk premiums for observable factors even when not...

Background: Since 2008, China has provided ITC (investment tax credit) and TID (taxable income deduction) for firms who engage in investment or business related to reducing pollution emissions and saving energy. This paper examines both incidence and effects of these tax incentives. Methods: We...

Existing explanations of China's dramatic economic growth since 1978 have neglected a key piece of the China Puzzle, that is, China since 1978 has been a typical “East Asian Developmental State (EADS)” with a long socialist legacy that regularly deploys industrial and science & technology...

We study how payroll tax rate affects compliance in China's social security system, using natural within-city variations in statutory payroll tax rate over time for identification. Higher payroll tax rate reduces probability of participation in the social security system and ratio of taxable...

This paper utilizes the non-linear estimation method to simulate the Zipf distribution, and constructs an alternative measure of Hirschman–Herfindahl index (HHI), in order to reveal the real changes in monopoly of China's industrial markets. Based on the annual waves of the Chinese Industrial...