Reshaping unfairness perceptions: Evidence from China's Hukou reform

This study investigates the impact of China's 2014 Hukou reform, which significantly relaxed barriers to internal migration, on local urban residents' perceptions of unfairness. Using data from the China Family Panel Studies, we find that exposure to increased in-migration following the reform heightened locals' perceptions of unfair treatment due to wealth inequality and Hukou status. Locals also expressed less tolerance for wealth gaps and reduced recognition of wealth accumulation. These shifts in social attitudes indicate that inter-group contact through migration can reshape native residents' notions of fairness and equity. Our findings suggest implementing progressive policies may become more feasible in the wake of migration reforms by altering social views. Overall, our work sheds light on the societal impacts of internal migration and Hukou policy reforms in China.