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Discrimination on Industry Average Profit Margin: Monopoly Industries and Competitive Industries

Qi Yudong;Zhang Renzhi;  
This paper analyses whether the Marx's theory of average profit rate of industry is applied to China, by comparing the profit rate of 12 monopoly and non-monopoly industries from 1999 to 2013. The results show that the profit rate of non-monopoly industries basically tend to average; the profit rate of monopoly industries don 't become average due to barriers to capital and labor entry; the employees' income of monopoly industry is higher than the employee's income of non-monopoly industry and the income gap between monopoly and non-monopoly industry is widen year by year, which indicates the segmentation of China's labor market is serious.
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