An Empirical Analysis Of The Service Industry In China

With China’s successfully entry into the WTO and aligning with the world economy, we realize the importance of the Service Industry gradually. Although the status of China’s Service Industry gradually strengthened in the national economy, there is still a certain gap compared with the developed countries. Therefore, how to promote the development of China’s Service Industry and narrow the gap to enhance the national competence becomes an important and hot spot for domestic experts and scholars. By consulting official Statistics Website such as the National Bureau of Statistics of China, the China Economic Information Network and referring to various books about services sector data, this paper obtains the required data and shows an empirical analysis about the development of China’s Service Industry on that basis. However, due to the late start of China’s Service Industry statistics and the low level of development, it is difficult to find all the required data for this paper, so some data is simply processed and assumed in order to facilitate the calculation. Finally this paper obtains some satisfied results. This paper contains five chapters:In the first chapter, we present a simple overview of the topics and literature review;In the second chapter, we introduce the concept of the Service Industry, and then through the comparison of the obtained data show its present situations, hysteresis reasons and the change of internal structure. Finally we analyze the employment-output elasticity about three major industries.In the third chapter, combining with obtained data, we calculate the total factor productivity of China’s service Industry by using DEA-Malmquist index method. We also analyze it from the overall and sub-regional aspects.In the fourth chapter, we establish an appropriate model by filtering the known research. By combining with the collected data of service Industry, we analyze the development of the service industry and urbanization, economic growth and service industry employment analysis, through related stationary test, co-integration test and error correction model, we get the long-run equilibrium relationship model of the level of development of the service industry: In sert=9.4103+2.2047ln urbt+0.8808ln pgdpt-1.4870ln labt Secondly, we get the short-term dynamic equilibrium error correction model:△ln sert=0.0471+1.5584△ln urbt+0.4895△ln pgdpt-1.1261△ln labt-0.4770ECMt-1These two models are well reflected the law of the development of China’s Service Industry. Finally, we get the following equations by VAR (2) model: And the equations impulse response function and variance decomposition.In the fifth chapter, summary of this article and give a few suggestions.