Research On The Non-Consistency Between Economic Growth And Employment Growth In China

Since reform and opening up, long-term and steady economic fast-growth has been kept in China. However, the employment situation becomes increasingly serious. The non-consistency between economic growth and employment growth has been paid more attention, on which attracts the scholars analyze and put forward the corresponding countermeasures. So far, it is difficult for us to found systemic and general fruit on it. Then, how to systematically analyze the main influential factors on employment growth? Which restricts these factors? And what are the further reasons for less employment growth? How to realize synchronously increasing of economy and employment, etc.? These problems become more important, which is also just the aim of research to be solved. From the viewpoint of macroeconomic and microeconomic, the paper builds labor demand model with the combination of Cobb-Douglas production function and productive conditions of profit maximization. Then the main factors influencing employment growth are analyzed, such as capital input, wage and technology progress. In addition, the influences of more factors are further studied. At last, the thesis put forward the corresponding measurements to improve employment elasticity.The main contents are as follows:First, the systematic summary and evaluation of related researches on employment growth is given. The current researches include four parts about the non-consistency between economic growth and employment growth. They are Marxist Economics relevant to economic growth and employment growth,theory about economics growth and employment growth from main schools of western economics,study on relation between economy growth and employment in the field of Translate and the academic fruit about economy growth and employment growth from scholars in China.One side, Study from main schools of economics is basis on the well rounded marketing economy.It can not clearly analyze relation between economy growth and employment growth in social democracy.threlation between labour supply and demand is different from it in China. So when we analyze employment in China .We apply west employment theory prudently. On the other side, the non-consistency between economic growth and employment growth coming from the scholars in China was analyzed only from the view of economic structure, technology progress and ternary lag. In addition, further analysis on affection of income distribution gap and incomplete labor marketing was ignored.Therefore present researches are lack of enough systematic explanation, and analysis on further reasons as well. So analysis on reason about non-consistency between economy growth and employment growth is lack in systemic and general.Second, with the observation and analysis on the non-consistency between economic growth and employment growth since 30 years ago, the paper describes the behavior and influence of the non-consistency. Moreover, heavy employment pressure result from non-consistency between economic growth and employment growth. The result shows that improvement of employment growth is the key to improve employment situatant in our country.Third, labor demand model is built with the combination of Cobb-Douglass production function and productive conditions of profit maximization. The main factors are determined, including input capital, technology progress and wage. The paper selects data of employment in town, capital and wage to estimate the model by co-integrations during 1985-2006. The result shows that factors like capital input, technology and wage, can only improve the employment slightly. It can hardly relieve the employment situation in short term.Fourth, Analysis on further reasons influencing employment growth .Because the factors have dual-way impact on employment, the positive effect is restricted by the adjustment of ownership structure, industrial structure, gap of income distribution and labor marketing situation. So the thesis makes analysis on the further reasons. As far as the structure is concerned, non-stated owned economy translate institutional advantages into competitive advantages in marketing economy and promote employment. But non-stated owned economy also has its shortcomings. There are many problems to be improved. As to the industrial structure, tertiary industry is becoming the main section to settle employment in our country. But the lower level of marketing and urbanization restricts the development of tertiary industry. As to income distribution, the enlarging of income distribution gap influences the employment growth and demand structure, and then results in reduction of consumption demand. At last, the paper discusses labor marketing division between city and country and labor marketing division in town. The paper also makes analysis on the shortage of systematic service system on employment. It restricts the function of labor market, which brings some reduction on employment.Fifth, on the basis of further analysis of influencing factors, the thesis analyzes the reasons about non-consistency between economic growth and employment growth and puts forward relative measures: accelerate development of non-stated owned, promote tertiary industry, reduce gap of income distribution, and amend labor marketing system. As result, this part deepens and unifies the viewpoints of the existing research achievement.