How Geographic Origin Affects Income in Shanghai Beauty Industry
Abstract
Why do some individuals in the same occupation and city earn significantly more than others? While factors like skill and experience matter, this research proposes that an individual's geographic origin -- local versus migrant -- is a critical but under-examined factor shaping income inequality within urban labor markets.
This project aims to investigate the causal mechanisms behind this disparity in Shanghai's beauty industry. It moves beyond classical economic models that focus solely on human capital by integrating insights from behavioral economics and sociology on discrimination, cultural capital, and social networks.
The central research question is: Does a beauty professional's geographic origin (Shanghai vs. Sichuan) causally affect their income and career trajectory when working in the same city (Shanghai)? If so, through what mechanisms -- hiring bias, client pricing, or negotiation?