Search Of The Impact Of Human Capital On Competitiveness Of Services Trade In China

With the rapid development of economic globalization, the global industrialrestructuring and the continued in-depth regional economic integration, internationaltrade in services has developed rapidly for these years. Services trade plays animportant role in word economic. The core of world economic competition is shiftingfrom international trade in good to international trade in services. The advantage ofinternational trade in services is dramatically changing to intensive knowledge,intensive technology and new services area. Therefore, human capital is the mainfactor which affects the services trade status of a country.Begin with the illustration of the research background, significance and researchmethods. Review the relevant papers about human recourse and services tradecompetitiveness and clarifies the close link between the two elements. Define theconcept of trade in service and human capital clearly. Looking international trade inservices as a special form of international trade on the basis of the traditionalinternational trade theory, focus on the theory about trade in service and humancapital and the metrics on the two elements. Study the development of China’s servicetrade from three aspects: the present situation of trade in services, the internationalcompetitiveness of quantitative and comparative analysis. Measure the proportion ofhuman capital of five traditional industries by education,which are construction,transportation, financial services, tourism, communications, computer andcommunications services. Empirical research on the impact of human capital on thecompetitiveness of China’s service trade in part four, combining the seven traditionaltrade in services industry into five major categories, using2002-2009paneldata,divides the human capital into high quality and ordinary quality. Give thecorresponding policy recommendations.Through comprehensive analysis, this paper gets the following conclusions:(1)China has large scale of trade in services, but also accompanied by increased deficit;it shows that China’s service trade structure is irrational: the ordinary service sectorwith low-tech, low added value still accounts for a large proportion and there are avery difference between level of human capital in high-tech industry and level ofhuman capital in ordinary industry.(2) Concluded from the empirical results: Humancapital has a significant impact on trade competitiveness in the service sector: the impact of ordinary quality of human capital on China’s service exports is notsignificant; and that of high quality of human capital contributes the most significantrole.In summary, the quality of human capital in China’s domestic service industry isgradually increasing, which is indicating the direction of industrial development iscorrect and positive, while China’s international competitiveness of service trade isyoung and weak.