Analysis of services trade and employment in China by co-integration and causality

This article describes a study by co-integration test and Granger causality test on the relationships between China's services trades and employment using the data of services trade from the WTO website and the employment data from China Statistic Yearbook for the years from 1982 to 2003. Co-integration test showed that 1% increase in export value and import value of services created respectively 0.205% and 0.068 7% more job opportunities in the service sector. Both export and import of services impacted positively on employment in service industry, and export did more than import. However, in the short run, the impacts of services export and import on employment in service industry were both very small, though positive; and the impacts of employment in service industry on both export and import of services were very big, but not stable. Granger causality test indicated that employment in service industry was a Granger cause of services export. The findings highlight the importance of facilitating services import and reducing import barriers, and suggest that the competitiveness of China's labor- intensive services trade can be exploited to boost services export and help employment in service sector, and that the structure of services trade should be optimized by shifting from labor-intensive to knowledge-and technology-intensive services thus to enhance China's competitiveness of services export.

Research on the Strategy of Promoting Daqing to Create a National Public Employment and Entrepreneurship Service Demonstration City

Based on the research on the basic status quo of the construction of public employment and entrepreneurship service system in Daqing, this paper analyzes the problems existing in Daqing’s establishment of a national public employment and entrepreneurship service demonstration city, and gives countermeasures and suggestions from three levels: optimizing the public employment and entrepreneurship service system, innovating the public employment and entrepreneurship service mode, and improving the entrepreneurship driven employment support system.

Will the Service Sector Promote China’s Long-Term Employment Growth?

The coexistence of the slowing-down economy and the buoyant employment market has been the pattern in China in recent years, and the service sector has played an important role in this regard. This paper uses empirical analysis to prove that the service sector has a long-term mechanism to promote employment growth： first, the verification of the Baumol-Fuchs hypothesis shows that the income elasticity of demand for services in China is greater than 1. As the current development of the services is lagging behind, this sector has great development potential. Second, the revised employment equation shows that the employment elasticity of the service sector is much higher than that of the industrial sector, and its employment adhesiveness is stronger as well. The employment of the service sector can not only create more jobs for the national economy, but also help stabilize the job market. The employment pressure in China is mainly caused by migrant workers and college graduates. To solve the employment problems of these two groups, China has to promote the development of traditional services and speed up the upgrading of emerging services at the same time, and should neglect neither. This paper provides recommendations accordingly.

On Features and Development of Service Economy

The article discusses the new features of service economy, analyzes personalized service, which is the prominent feature of modern service economy, and makes a research on employment of service economy. This article has a profound theoretical meaning and extensive practical application.

Can the service industry promote China’s employment chronically?

In recent years,there have been both economic callbacks and employment increases in China,and the service industry has played an important role in this change.Through empirical analysis we prove that the service industry has long-term mechanisms to promote employment growth.Firstly,based on the Baumol-Fuchs hypothesis test,we find that the income elasticity of demand of the Chinese service industry exceeds 1,and the Chinese service industry has huge development potential due to its currently inadequate development.Secondly,based on a modified employment equation,we find that the elasticity of employment of the service industry is far higher than that of the industrial sector,and the service industry has stronger employment stickiness.The service industry can serve as the absorber and stabilizer of employment.China’s current employment pressures mainly grow out of migrant workers and college graduates;to solve the employment problem for these two groups,it is essential to promote both the development of a traditional service industry and the upgrade of the emerging service industry.At last,this paper proposes corresponding suggestions.

Why rapid urbanization can’t improve employment absorption capacity of service industry in China:reflections on innovating the model of interaction between service industry development and urbanization under economic transformation and upgrading

Mathematical models show that the urbanization process is an important factor affecting the transfer of labor among economic sectors.The regression results using time-series data since China’s reform and opening up show that there is significant positive correlation between urbanization and the service industry’s ability to create jobs.However,there is no Granger Causation between them.Therefore,China should shift from focusing on industry park construction to paying more attention to improving urban functions by increasing their employment density of urban services.