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Author: Gan, Li

Resulting in 4 citations.

1.	Dong, Yan Gan, Li Wang, Yingning
1.	Residential Mobility, Neighborhood Effects, and Educational Attainment of Blacks and Whites Econometric Reviews 34, 6-10 (2015): 762-797. Also: http://www.tandfonline.com/doi/full/10.1080/07474938.2014.956586#tabModule Cohort(s): NLSY79 Publisher: Taylor & Francis Group Keyword(s): Educational Attainment; Geocoded Data; Mobility, Residential; Neighborhood Effects; Racial Differences Permission to reprint the abstract has not been received from the publisher. This paper proposes a new model to identify if and how much the educational attainment gap between blacks and whites is due to the difference in their neighborhoods. In this model, individuals belong to two unobserved types: the endogenous type, which may move in response to the neighborhood effect on their education; or the exogenous type, which may move for reasons unrelated to education. The Heckman sample selection model becomes a special case of the current model in which the probability of one type of individuals is zero. Although we cannot find any significant neighborhood effect in the usual Heckman sample selection model, we do find heterogeneous effects in our two-type model. In particular, there is a substantial neighborhood effect for the movers who belong to the endogenous type. No significant effects exist for other groups. We also find that the endogenous type has more education and moves more often than the exogenous type. On average, we find that the neighborhood variable, the percentage of high school graduates in the neighborhood, accounts for about 28.96% of the education gap between blacks and whites.
	Bibliography Citation Dong, Yan, Li Gan and Yingning Wang. "Residential Mobility, Neighborhood Effects, and Educational Attainment of Blacks and Whites." Econometric Reviews 34, 6-10 (2015): 762-797.

2.	Gan, Li Gong, Guan
2.	Estimating Interdependence Between Health and Education in a Dynamic Model Working Paper No. 12830. National Bureau of Economic Research, January 2007. Also: http://www.nber.org/papers/w12830 Cohort(s): NLSY79 Publisher: National Bureau of Economic Research (NBER) Keyword(s): Educational Attainment; Health Care; Health Factors; Health Reform; Health/Health Status/SF-12 Scale; Modeling This paper investigates to what extent and through which channels that health and educational attainment are interdependent. A dynamic model of schooling, work, health expenditure, and savings is developed. The structural framework explicitly models two existing hypotheses on the correlation between health and education. The estimation results strongly support the interdependence between health and education. In particular, the estimated model indicates that an individual's education, health expenditure, and previous health status all affect his health status. Moreover, the individual's health status affects his mortality rate, wage, home production, and academic success. On average, having been sick before age 21 decreases the individual's education by 1.4 years. Policy experiments indicate that a health expenditure subsidy would have a larger impact on educational attainment than a tuition subsidy.
	Bibliography Citation Gan, Li and Guan Gong. "Estimating Interdependence Between Health and Education in a Dynamic Model." Working Paper No. 12830. National Bureau of Economic Research, January 2007.

3.	Gan, Li Shin, Jaeun Li, Qi
3.	Initial Wage, Human Capital and Post Wage Differentials Hitotsubashi Journal of Economics 51 (December 2010): 79-97. Also: http://hermes-ir.lib.hit-u.ac.jp/rs/handle/10086/18778 Cohort(s): NLSY79 Publisher: Hitotsubashi University Keyword(s): Human Capital; Job Productivity; Wage Determination; Wage Dynamics; Wage Models Permission to reprint the abstract has not been received from the publisher. Insufficiency in information with which firms judge the productivity of a worker for the first time in the market creates more randomness in initial wages than in later wages. This paper examines whether the initial randomness in wages may have a persistent effect on post wages. We set up a human capital accumulation in which an individual may respond to the positive error in initial wage by adjusting hours worked thereafter in her career, and consequently may receive higher future wages than those who draw a negative error in initial wages but otherwise are equivalent. The model predicts that the initial wage, in particular, its random component, is a persistently important factor having positive effect on future wages. Using data from the National Longitudinal Survey of Youth 79, we find empirical evidence that this effect is indeed positive and persists even after 20 years since the initial entry to labor market. The decomposition of initial wages by both parametric and nonparametric IV methods further shows that this effect is derived by the random component, not the observable component, of the initial wage. It implies that the observed cross-sectional wage variation within group can be accounted for the initial randomness in wages.
	Bibliography Citation Gan, Li, Jaeun Shin and Qi Li. "Initial Wage, Human Capital and Post Wage Differentials." Hitotsubashi Journal of Economics 51 (December 2010): 79-97.

4.	Gan, Li Wang, Yingning
4.	Residential Mobility, Neighborhood Effects, and Educational Attainment of Blacks and Whites Working Paper, Department of Economics, Texas A&M University, December 2010. Cohort(s): NLSY79 Publisher: Department of Economics, Texas A&M University Keyword(s): Educational Attainment; Geocoded Data; Mobility, Residential; Neighborhood Effects; Racial Differences Permission to reprint the abstract has not been received from the publisher. This paper proposes a new model to identify if and how much the educational attainment gap between blacks and whites is due to the difference in their neighborhoods. In this model, individuals belong to two unobserved types: the endogenous type who may move in response to the neighborhood effect on their education; or the exogenous type who may move for reasons unrelated to education. The Heckman sample selection model becomes a special case of the current model in which the probability of one type of individuals is zero. Although we cannot find any significant neighborhood effect in the usual Heckman sample selection model, we do find heterogeneous effects in our two-type model. In particular, there is a substantial neighborhood effect for the movers who belong to the endogenous type. No significant effects exist for other groups. We also find that the endogenous type has more education and moves more often than the exogenous type. On average, we find that the neighborhood variable, the percentage of high school graduates in the neighborhood, accounts for about 28.96% of the education gap between blacks and whites.
	Bibliography Citation Gan, Li and Yingning Wang. "Residential Mobility, Neighborhood Effects, and Educational Attainment of Blacks and Whites." Working Paper, Department of Economics, Texas A&M University, December 2010.

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