Study On The Impact Of The International Trade On China’s Employment

China has a large population.The international trade is also large,and plays an important role in Chinese economic.It is of great empirical and theoretical significance to analyze the relation between international trade and employment.Based on the employment theories and international trade theory,the article analyzes the influence of the total and structure of international trade on the total and structure of employment in China.Econometric method and Input-output method are utilized to empirically analyze the impact of international trade on employment.Several meaningful results are found,and corresponding policies are put forward.Firstly,the article analyses the relations between the employment theories and the international economic theories based on the literature review and analysis.It points out that the employment theories focus on labor market.In analyzing the labor demand function,it finds that the relative factor prices play an important role in labor demand.And the international economy argues that factor endowments determine the trade pattern and the trade structure of a country,which focus on the comparative advantages.So,there are the factor endowments and prices that link employment and international trade.Further study focuses on the long-term and short-term mechanism of international trade influencing employment.Secondly,the article analyzes the reality of international trade and employment.For china,one of the most prominent features is the segmentations of the factor markets,such as the segmentations of the labor market and the capital market.The household registration system is the symbol of the labor market segmentation.The difference of the financing costs of firms of different ownership is a significant segmentation of capital markets.So,firms of different ownership are facing different constraints in labor demand activities,which is the microeconomic base in explaining the employment problem of China.When firms’ labor demand is aggregated,it can explain the" migrant worker shortage" and" graduates employment surplus" both of which are relative to their demands.When international trade is considered,the low-paying workers is mostly influenced facing the fluctuations of international trade based on the article’s analysis.Then,it depicts and explains the influence mechanism of international trade to employment both in the long run and in the short run,which is useful for planning and solving employment problems.Based on the industries’ data,it estimates the dynamic labor demand function using the System GMM method,which tells that the labor demand elasticity of the international trade is 0.11.Finally,to analyze the impact of fluctuations of international trade to employment,the article constructs and estimates the VAR and SVAR models.Then,it analyzes the structural changes of employment among sectors based on Input-Output technique.It computes and conpares the enployment-inducing coefficients and employment elasticity of export,and argues the reasons of the declining of average export employment-inducing coefficients.In the Iput-Output framework,it analyzes the role of import to employment.Finally,it argues the factors of international trade and gives some suggestions.