The share of Chinese people with college education and the wage premium that they earn has increased dramatically since 1990. In this video, LEI LI explores the factors underlying this and argues that it can be partially attributed to the importation of machinery. * Analyzing population data from the 330 Chinese prefectures and exploring regional differences in machinery importation, Li finds that the importation of machinery is indeed a key driver in rapid human capital accumulation in China. Ongoing research will explore the policy implications of Li’s findings as well as the extent to which they apply to other developing economies. * 0:00 Question 1:47 Method 3:57 Findings 5:11 Relevance 5:53 Outlook