Effects of Internet use on the wage of college graduates

ZHAO Jianguo1 ZHOU Deshui2

(1.Dongbei University of Finance and Economics)
(2.School of Public Administration, Dongbei University of Finance and Economics)
【Knowledge Link】interactive analysis

【Abstract】Using the Data of National Migrant Population Dynamic Monitoring Survey in 2016, this paper studies the effect of Internet usage on the wage of college graduates by using information search theory, propensity score matching and quantile regression methods. The results show that Internet usage has significantly improved the wage of college graduates. After considering the potential self-selection effect, the results remain robust. The quantile regression models show that at the low quantiles, Internet usage promotes wage of college graduates. However, the effect diminishes along with the score increasing and shows an inverted-U shaped trend. The interaction effects analysis shows that a significantly complementary relationship exists between the Internet usage and the wage of undergraduate and graduate students, but a substitution effect exists between Internet usage and the wage of junior college graduates. Moreover, regional disparity exists in the impact of Internet usage on the wages of college graduates, which is indicated by the significantly positive effects on the wage of college graduates in provincial capitals, eastern or central regions. The effect is also higher for graduates with urban household registrations than those with rural household registrations.

【Keywords】 the Internet; university graduates; employment wage; regional imbalance;

【DOI】

【Funds】 Stage Achievement of Project of National Social Science Fund of China (17BSH072))

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This Article

ISSN:1000-7881

CN: 11-1043/C

Vol , No. 01, Pages 47-60+127

February 2019

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Article Outline

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Abstract

  • 1 Introduction
  • 2 Data sources and variable selection
  • 3 Theoretical framework and econometric model
  • 4 Empirical analysis and discussion
  • 5 Regional imbalances in the usage of the Internet on employment wages
  • 6 Conclusions and policy recommendations
  • References