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THE EFFECTS OF WORKERS' REGION OF BIRTH ON LABOR MARKET OUTCOMES IN THE REPUBLIC OF KOREA

2004/12/01 by Yongmin Kim, Yong‐Min KIM, Ki Seong PARK +1
Social Sciences · #Migration and Labor Dynamics #Migration, Ethnicity, and Economy #Names, Identity, and Discrimination Research

paper · doi:10.1111/j.1746-1049.2004.tb00245.x

openalex publication_date 2004/12/01 · openalex created_date 2025/10/10 · openalex updated_date 2026/07/28

Abstract

In this paper, we investigate empirically whether there are differences in labor market outcomes according to workers' region of birth. We also investigate whether wage differentials by region of birth are due to taste discrimination, statistical discrimination as measurement error, or both of these things. The empirical analyses based on the Korean Labor and Income Panel Study (KLIPS) data show the following. First, Honam‐born workers have a higher migration ratio to other regions than Youngnam‐born workers. Second, workers born in other regions have a higher propensity to become contingent workers and are paid significantly lower wages than Seoul/Kyonggi‐born workers. Finally, our empirical tests support the third hypothesis that wage differentials by region of birth are attributable partly to statistical discrimination as measurement error and partly to taste discrimination. We rejected a hypothesis based solely on taste discrimination as well as a hypothesis based solely on statistical discrimination as measurement error.

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