The Study On The Effect Of China’s Development Of Producer Service Trade And Its Liberalization On Economic Growth

With the rapid development of trade in producer services, trade liberalization in producer services has become irreversible. Under this circumstance, China’s producer services industry has progressively opened to the outside world. And the opening of the industry will have an important effect on China’s economic growth. China, at present the2nd top manufacturing country in the world, will have manufacturing industry as the main impetus of its economic growth for a considerably long period of time. But the extensive development mode of China’s manufacturing industry with the over-exploitation of natural resources and cheap labor resources, has kept China in the downstream of the world manufacturing industry chain. Producer services industry, which is crucial for the upgrade of China’s manufacturing industry, has experienced slow development in China. Under this circumstance, the study of the impact of trade liberalization in producer services on China’s economic growth has an important theoretical and realistic meaning to change the China’s economic growth mode and realize the Sustainable development of economy.On the analysis of the path of China’s producer services liberalization, using the theory of producer services and theories of international trade and new growth as its theoretical basis, this paper illustrate the impact of producer services trade liberalization on China’s economic growth from the theoretical and empirical aspect.This paper first illustrate mechanism of the promotion of producer services trade to economic growth,then construct a model to explain each mechanism.These mechanism include four aspect:capital accumulation effect、employmen promoting effect、total facter productivity enhancement effect、merchadise export expanding effect.Then we make an empirical study on the impact of producer services trade liberalization on China’s economic growth from these four aspect.And we found the relationship between producer services import and China’s economic growth.On the bases of the above analysis and in the light of the problem in the China’s producer services liberalization,we put forward to some policy advice about the sustaining and heathy development of Chinese economic growth.It mainly includes:steeply opening producer services trade;establishing better law and regulation about producer services;enhance human capital; fully developing on-shore outsourcing; promoting the relevancy of producer services and manufacturing.