Educational Choice, Rural-urban Migration and Economic Development

We are grateful for comments from Kaiji Chen, Chang-Tai Hsieh, B. Ravikumar, and Michael Song, as well as participants at the AREUEA-ASSA Annual Meetings, the Asian Meetings of the Econometric Society, the Conference on Chinese Economy at Tsinghua University, the Asian Bureau of Finance and Economic Research Conference, the Midwest Macro Meetings, the Public Economic Theory conference, the Society for Advanced Economic Theory Conference, the Symposium on Growth and Development at the Chinese University of Hong Kong, the Academia Sinica-Center for Chinese Economic Research joint workshop, and the annual meeting of the Society for Economic Dynamics, and seminar participants at Academia Sinica, Chinese University of Hong Kong, National Taiwan University and National Sun Yat-sen University, and Washington University in St. Louis. Travel support from the Chinese University of Hong Kong, Tsinghua University, the Center for Dynamic Economics of Washington University, and the Ministry of Science and Technology of Taiwan are greatly appreciated. We wish to express special thanks to Suqin Ge and Dennis Tao Yang for providing the data on the skill premium in China. Needless to say, the usual disclaimer applies. The views expressed herein are those of the authors and do not necessarily reflect the views of the National Bureau of Economic Research.