Establishing the New International Normal for Economic Growth in China and the World: The Imperative for Sustainable Global Development

The 2016 North America Conference of the Chinese Economist Society (CES) April 2-3, 2016 Sacramento, California, USA

Organiser: The Chinese Economist Society

Co-Sponsors • Office of the Provost, University of California, Davis • Office of the Provost, California State University, Sacramento • Office of the Dean of Social Sciences & Interdisciplinary Studies, California State University, Sacramento • Office of the Dean of Social Sciences, University of California, Davis • Department of Economics, University of California, Davis • Migration Center, University of California, Davis • Institute for Social Sciences, University of California, Davis

CONFERENCE PROGRAM April 2 (SATURDAY)

9:00 a.m. – 11:45 a.m.: Plenary Sessions

Welcoming Remarks: • Robert Nelsen, President, California State University, Sacramento • List of OTHER dignitaries who will speak

Plenary Sessions • 1st speaker: Robert Feenstra, University of California, Davis (COFFEE BREAK) • 2nd speaker: Avner Greif, Stanford University

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11:45 a.m. – 1:15 pm: Lunch

1:20 p.m. – 5:40 p.m.: PARALLEL SESSIONS

Time Allocation for Parallel Sessions • Each presenter will speak for 16 minutes in sessions with four papers, and for 20 minutes in sessions with three papers • Rest of time will be open discussion

1:20 p.m. - 2:40 p.m.: Parallel Sessions Session 1 - 1: Growth and Development 1: Institutional & Demographic Factors Venue: TBA Chair: Lu Ding 1. Dual Track System in China's Transition. Tang Rongsheng, Washington University, [email protected] 2. The Utilization Rate of Demographic Dividend. Yang Fan, Central University of Finance and Economics, [email protected] 3. Demographics and Firm Returns: Empirical Evidence from a Population Policy Change in China. An Zhiyong, of Finance and Economics, [email protected] 4. China’s Growth Performance and Potentials in the Lens of the Unified Growth Theory. Lu Ding. University of the Fraser Valley, [email protected]

Session 1 - 2: Industrial Organization I: Issues in Banking and Finance in China Venue: TBA Chair: TBA 1. Trust and the Geography of Online Trade: Evidence from China. Han Lihua, Northeastern University, [email protected] 2. On the Number and Size of Banks: Efficiency and Equilibrium. Huang Kui, University of Wisconsin-Madison, [email protected] 3. Spatiotemporal Analysis of Financial Industry Structure in China. Liu Guirong, East China University of Science and Technology and University of Michigan, China Data Center, [email protected] 4. Foreign Exchange Interventions, Capital Controls and Monetary Policy: The Case of China. Jin Hao. Indiana University, [email protected]

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Session 1 - 3: Labor Economics I: Schooling and human capital in China Venue: TBA Chair: Yang Juan 1. The Returns to Schooling in Rural China: Evidence from the Cultural Revolution Education Expansion. Yang Juan, Beijing Normal University, [email protected] 2. How cohort size impacts education opportunity in China: crowding and selectivity . Liu Han, Rutgers University, [email protected] 3. How does the school starting age affect cognitive and non-cognitive skills? Xu Jianfeng, University of Illinois Urbana-Champaign, [email protected] 4. Chinese University Admission Mechanisms: Should We Defer Deferred Acceptance? Connie Wang, Walden University, [email protected]

Session 1 - 4: Macroeconomic Management 1 Venue: TBA Chair: Li Linyue 1. Measuring the "World" Natural Rate of Interest. Ren Zhang, Southern Methodist University, [email protected] 2. In "New Normal" Research on the Transmission Mechanism and Policy Implications of China's Economy and World Business Cycle Synchronization. Li Linyue, Central University of Finance and Economics, [email protected] 3. Permanent Income and Subjective Well-Being. Cai Shu, The Hong Kong University of Science and Technology, [email protected] 4. The Role of Monetary Policy on Housing and Consumption, Pan Xuefeng, University of California Riverside, [email protected]

Session 1 - 5: The Economic Analysis of Chinese Culture Venue: TBA Chair: Wu Jiabin 1. Who Should I Share Risk with? Gifts Can Tell: Theory and Evidence from Rural China. Wang Ruixi, Hong Kong Baptist University, [email protected] 2. How Does the Adolescent Experience Affect Subjective Well-being? A Study on the Send-Down Movement in China. He Chuan, University of California, Davis, [email protected] 3. An Evolutionary Foundation for Cultural Polarization. Wu Jiabin, University of Oregon, [email protected]

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4. The Economic Motives of Foot-binding in Rural China: Evidence from Republican Government Archives in the 1930s. Wu Lingwei, The Hong Kong University of Science and Technology, [email protected]

Session 1 – 6: Studies of the Chinese Consumer Venue: TBA Chair: TBA 1. Chinese Rural Consumers’ Online Shopping. Zhong Hua, University of Kentucky, [email protected] 2. Mass Media, Migration and Diffusion of Diet Knowledge. Hao Xu, University of Southampton, [email protected] 3. Health Status and Cash Holdings: Evidence from Chinese Households. Lin Tian, University of Birmingham, UK, [email protected]

2:40 p.m. – 3:00 p.m. : Coffee

3:00 p.m. - 4:20 p.m.

Session 2 – 1: Computational and Behavioral Economics Venue: TBA Chair: Chen Shu-Heng 1. Has Homo Economicus Evolved into Homo Sapiens: What Does Corpus Linguistics Say? Zou Yawen, Arizona State University, [email protected] 2. In Synchrony with Market Organization: Coordination of Financial Intermediaries and Money Flows Matched in Time. Yang Chun-Yi, George Mason University, [email protected] 3. Sectoral Imbalance in Two-Sector Economy with Mobility Constraint and Firm Migration. Li Xi Hao, McMaster University, [email protected] 4. Heterogeneity in Generalized Reinforcement Learning and its Relation to Cognitive Ability. Chen Shu-Heng, National Chengchi University, [email protected]

Session 2 - 2: Growth and Development 2: Regional and Overall Perspectives Venue: TBA Chair: Jack W. Hou 1. Comparative study on Chinese and western urbanization theory. Gao Xiaoyan, Tianjin University of Finance and Economics, [email protected] 2. China's Efficient Urban Bias. Wang Xiaobing, University of Manchester, [email protected]

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3. An Empirical Study on the Relationship between Firm Innovations and Regional Development in China. Jun Rao, Tianjin University of Finance and Economics, [email protected] 4. Openness, Growth, and the Environment: Green GDP in China. Jack W. Hou. California State University, Long Beach [email protected]

Session 2 – 3: Industrial Organization II: Reform and Governance of Chinese Firms Venue: TBA Chair: Ling Leng 1. Effect of Managerial Links on Firm Performance and Governance: Evidence from China. Liu Yu, University of Texas at El Paso [email protected] 2. Regional Disparity of State-Owned Enterprise Reform and Regional Income Inequality in China: How the Size of State Sector Affects the Individual Income in a Region? Xie Bin, Rutgers University, [email protected] 3. Political Connections, Overinvestments and Firm Performance: Evidence from Chinese Listed Real Estate Firms. Ling Leng, Georgia College & State University, [email protected] 4. Roads to Innovations: Firm-Level Evidence from China. Wang Xu, Brandeis University and , [email protected]

Session 2 - 4: Labor Economics II: Special Topics Venue: TBA Chair: Örn B. Bodvarsson 1. The Shrinking Middle Class: Impact of Globalization on Skill Premium and Inequality with Endogenous Skill Acquisition. Xu Mingzhi, UC Davis, [email protected] 2. Tax-induced Interstate Migration. Li Zhihui, Beijing University, [email protected] 3. The Dynamics of Production Fragmentation and Human Capital Accumulation. Wang Xin, University of Colorado Boulder, [email protected] 4. Off-farm Employment and Insecticide Use. Chen Yishan, College of Economics and Management, Nanjing Agricultural University, [email protected]

Session 2 – 5: Macroeconomic Management II Venue: TBA Chair: TBA

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1. Central Bank Policy Responses to Volatile Capital Flows. Zhang Boyang. Cornell University, [email protected] 2. Influence of International Technology Transfer (ITT) on Innovative Performance of Chinese Economy: A Soft Model. Roszkowska Dorota, Univeristy of Bialystok, [email protected] 3. Consumption Habits, Growth Acceleration and Capital Flows. Wang Boqun, Johns Hopkins University, [email protected] 4. Financing Frictions in Firm Life-Cycle Dynamics: Evidence from Indonesia, Ding Ziran. University of Washington, [email protected]

Session 2 – 6: The Economic Effects of Trade Venue: TBA Chair: TBA 1. Trade Liberalisation, Labour Market Reform and Firm-level Employment Adjustment. Wang Feicheng, University of Nottingham , [email protected] 2. Export Spillover and Destination Choice. Wu Haoyu, Clark University, [email protected] 3. Spillover effect of foreign direct investment: Identification from borders of Chinese dialect zones. Ma Sen, University of Illinois at Urbana-Champaign, [email protected]

4:20 p.m. - 5:40 p.m. PARALLEL SESSION

Session 3 – 1: Industrial Organization III: Chinese Industry Studies Venue: TBA Chair: Song Shunfeng 1. Destination Institution, Firm Heterogeneity and Exporter Dynamics: Empirical Evidence from the Chinese Firm-Level Data. Hu Chenghao, University of California, Davis. [email protected] 2. Transportation Infrastructure, Spatial Distribution of Industries and Aggregate Productivity. Yang Yang, University of California, Los Angeles, [email protected] 3. Spatial Study of Chinese Religious Market and Economy. George Hong, Purdue University Calumet, [email protected] 4. Openness, Technology Spillovers, and Resource Misallocations: Evidence from China. Song Shunfeng, University of Nevada, Reno, [email protected]

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Session 3 – 2: Macroeconomic Management 3 Venue: TBA Chair: TBA 1. Fertility Shocks and Household Savings: Evidence from the Family Planning Policy in China. Sun Shuqiao, University of Michigan, [email protected] 2. Collateral constraint amplification of fiscal policy across business cycles. Zhu Tingting, University of California, Davis, [email protected] 3. News shock and the effect of monetary policy. Zhang Ren, Southern Methodist University, [email protected] 4. Household Characteristics and the Shift of Household Financial Risk Tolerance during the Great Recession: Evidence from Panel Data. Chiang Tsun-Feng, Henan University, [email protected]

Session 3 – 3: New Econometric Methods Venue: TBA Chair: Hong Han 1. A Partially Parametric Estimator. Daniel Henderson, University of Alabama, [email protected] 2. Testing for Treatment Effect Heterogeneity in Regression Discontinuity Designs. Shen Shu, University of California- Davis, [email protected] 3. Bayesian Indirect Inference and the ABC of GMM. Hong Han, Stanford University, [email protected] 4. Alternative Empirical Strategies to Correct On-site Sampling Bias with an Application to Recreation Demand Analysis. Shi Wei, University of New Hampshire, [email protected]

Session 3 – 4: The Economics of Chinese Agriculture and Land Venue: TBA Chair: TBA 1. Maize Straw Utilization: How Farmers’ Management Make Decisions and Their Influence on Northeast China. Hou Lingling, Peking University, [email protected] 2. Measurement on Economic Efficiency of Agricultural Production Factors and its Implications for Supply-side Reform in China. Li Hanning, University, [email protected]

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3. China's left-behind women and their empowerment in agriculture. Liu Yuzhu, University of Saskatchewan, [email protected]

Session 3 – 5: The Economics of Weather, Pensions, and Trade in China Venue: TBA Chair: Zijun Luo 1. Temperature and Economic Growth: New Evidence from Total Factor Productivity. Peng Zhang, University of California, Santa Barbara, [email protected] 2. Trade Effects of the US-China Solar Trade Dispute. Zijun Luo, Sam Houston State University, [email protected] 3. Effects of New Pension Provision: First Evidence from Rural China. Wei Huang, Harvard University, [email protected] 4. Dynamic Relationship between Tariff and Non-Tariff Measures: Substitutability or Complementarity? Chris Milner. University of Nottingham, [email protected]

Session 3 – 6: Special Topics in the Public Finance of China Venue: TBA Chair: Nathan Dong 1. Tax Reform, Protests, and the Incidence of Taxes: Evidence from Eighteenth-Century China. Liu Cong, University of Arizona, [email protected] 2. Local Government Fiscal Deficit and Strategic Public Asset Management in Developing Countries: Evidence from China. Nathan Dong, Columbia University [email protected] 3. Is Public Health Insurance Effective in China? A Study of Urban Resident Basic Medical Insurance Program using Semiparametric Panel IV Model. Yang Shuyang, Rutgers University, [email protected] 4. Executive and Director Cash Compensation and Tax Aggressiveness of Chinese Firms, Ying Tingting, Ningbo University of Technology, [email protected]

5:45 – 6:40 pm: Plenary Speaker • Giovanni Peri, University of California, Davis

6:40 pm: Evening Program Starts

Dinner

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Policy Forum 1: What is Causing the Slowdown in China? • Presentation by Wen Hai, Peking University HSBC Business School • Comments by Lu Ming (Shanghai Jiaotong University) and Wing Thye Woo (University of California, Davis) • Open Discussion

------April 3 (Sunday) 8:45 a.m. - 10:10 a.m.: Parallel Sessions Session 4 – 1: Applied Econometrics Venue: TBA Chair: Wan Yuanyuan 1. Price Dispersion, Market Structure and Consumer Heterogeneity: A Semiparametric Study of Airline Industry. Gu Zhutong, Rutgers University, [email protected] 2. Two-way Exclusion Restrictions in Models with Heterogeneous Treatment Effects.Wan Yuanyuan, University of Toronto, [email protected] 3. Semiparametric estimation of a credit rating model for corporate bonds. Jiang Yixiao, Rutgers University New Brunswick, [email protected]

Session 4 – 2: Environmental Issues in China I: Special topics Venue: TBA Chair: Shen Dong 1. Environmental Sustainability and Economic Development: Possible Futures of the World. Shen Dong. California State University, Sacramento, [email protected] 2. Was Entry into the WTO Worth it: Environmental Consequences of Trade liberalization. Tian Yuan, University of California, Los Angeles, [email protected] 3. Convergence of Water Environmental Performance in Chinese Seven River Basins Within Industrial Sectors: A Parametric Approach. Xie Huiming, Zhejiang Sci-tech University, [email protected] 4. Air Pollution and Rice Yields: Evidence from Southeast China. Cui Xiaomeng, University of California, Davis, [email protected]

Session 4 – 3: Industrial Organization IV: Innovation and Mobility of Chinese Firms Venue: TBA

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Chair: Chen Fei 1. E-commerce Expands the Bandwidth of Entrepreneurship: Evidence from China. Dai Ruochen, Peking University, [email protected] 2. Explore the Motivation of Entrepreneur’s Decision on Innovation: Base on the Empirical Analysis of SME in Bohai Sea Cycle Industrial Zone. Jiang Xiaodi, Tianjin University Management and Economic Institute, [email protected] 3. A Study on the Evolution and Development Characteristics of China Producer Service Agglomeration. Chen Fei, School of Economics & Commerce, South China University of Technology, [email protected]

Session 4 – 4: Labor Economics IV: Human Capital Venue: TBA Chair: Hou Yilin 1. Heterogeneity in Generalized Reinforcement Learning and Its Relation to Cognitive Ability. Chen Shu-Heng, National Chengchi University, [email protected] 2. Do the Spoiled Children Perform Worse? Niu Mengqi, National School of Development, [email protected] 3. School Attendance by Proximity and Residential Property Values. Hou Yilin, Syracuse University, [email protected] 4. Growing by Sending More Students to College? Evidence from China. Xia Xiaoyu, Chinese University of Hong Kong, [email protected]

Session 4 – 5: Macroeconomic Management IV Venue: TBA Chair: Ni Jinlan 1. Productivity and Liquidity Management. Wang Jing, University of Notre Dame, [email protected] 2. A FIR Filter to Date Post-WWII Recessions. Ma Jinpeng, Rutgers University, [email protected] 3. Chinese Household Saving and Dependent Children: Theory and Evidence. Ni Jinlan, University of Nebraska at Omaha, [email protected] 4. The Macroeconomic Effects of Bank Affiliated Mortgage Companies on the Business Cycle. Shao Chenjie, Stevens Institute of Technology, [email protected]

10:10 a.m. - 10:30 a.m. Coffee

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10:30 - 11:50 a.m. PARALLEL SESSIONS

Session 5 – 1: Financial Markets Venue: TBA Chair: Ma Jun 1. “Detecting Quality Manipulation Corruption in Scoring Auctions.” Huang Yangguang, University of Washington, [email protected] 2. “What Drives Commodity Returns? Market, Sector, or Idiosyncratic Factors?” Ma Jun, University of Alabama, [email protected] 3. Who Shares Risk with Whom and How? Endogenous Matching and Selection of Risk Sharing Equilibria. Xing Yiqing, Stanford University, [email protected] 4. To Securitize or Not? An Agency Cost Perspective. Wang An, University of Maryland, [email protected]

Session 5 – 2: Food for Thought Venue: TBA Chair: Hu Wuyang 1. Input Capacity Constraints, Food Quality and Quality Regulation. Chen Youhua, South China Agricultural University, [email protected] 2. Ethnocentrism, Country Image, and Food Preference. Hu Wuyang, Huazhong Agricultural University, [email protected] 3. Dairy Price Risk Management in California: An Online Teaching Model Approach to the Problem. Xu Pei, California State University, Fresno, [email protected]

Session 5 – 3: Research on Health Economics in China Venue: TBA Chair: Zhang Xiaohan 1. The Long-Term Impact of the State Children's Health Insurance Program on Health and Educational Outcomes, Guo Xiaohui. Lehigh University, [email protected] 2. Children of the Mortality Revolution – Infectious Disease and Long Run Outcomes, Zhang Xiaohan, California State University, LA. [email protected] 3. The Quality of Healthcare Provision in Rural China: Evidence from Mystery Patients, Sylvia Sean Renmin. University of China, [email protected] 4. Air Pollution Exposure and Fetal Health: Does A Safety Threshold Exist? Zhai Muxin. University of Washington, [email protected]

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12:00 noon – 1:15 pm: Lunch

1:15 pm – 2:50 pm Public Policy Panel 2: US-China Trade Policy in an Era of Greater Global Interdependence Moderator: Örn B. Bodvarsson, California State University, Sacramento Panelists: Yan Zhou, Associate Prof. of Economics, California State University, Sacramento Deborah Swenson, Associate Dean and Professor, University of California, Davis Pat Kong Fushida, President & CEO, Sacramento Asian Pacific Chamber Commerce

2:50 pm – 3:45 pm: Plenary Speaker • Ming Lu, Shanghai Jiaotong University

3:45 pm – 4:00 pm: Closing Remarks

Members of the 2016 CES Board • Wing Thye Woo, University of California, Davis • Orn Bodvarsson, California State University, Sacramento • Zongwu Cai, University of Kansas • Han Hong, Stanford University • Cheng Hsiao, University of Southern California • Shu Shen, University of California, Davis • Zhijie Xiao, Boston College

Executive Secretary of CES: Shuming Bao, University of Michigan President-elect: Jun Ma, University of Alabama

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