摘要
Based on the theory of rigid wage of Keynesianism, this paper discusses the influence of rigid wage on unemployment in China's transition economy, and thoroughly analyzes the traditional concept of workers in state-owned enterprises. Then the paper puts forward that in order to activate employment market, solve current problem of the large quantity surplus labor, supply-demand rule of labor market should be obeyed, and the rigid wage of long-term contract should be replaced by the flexible wage of short-term contract. The solution of unemployment will be of great significance for Chinese economy growth and social development.