| After a new economic crisis since2008, the global economic situation began to recover. Almost all the countries start thinking to put their eye on trade structure and industrial structure in order to get away from a new round crisis which may happen in the future. We always knew that the strength of a country’s foreign trade is an important criterion of a country on the international economic position, and may even influence the political discourse in the international community. Therefore, countries in the world start to focus on the competitiveness of a country’s foreign trade. The proportion of service sector has played a strengthening role in the economic development of a country and has even exceeded industry and agriculture to be the one which makes the highest contribution to GDP. The need of strengthening the trade services has become an inevitable trend. The main content of international trade in services has turned to technology, human capital-intensive modern from resources and labor-intensive services in this period of time. This kind of change has been proved to be mainstream trend in the item of international trade in service by scholars. Also the technical elements would like to affect the international trade in service in the way of influencing the human capital. Therefore, this article will be regard the human capital as the starting point to explore the specific impact that human capital has put onto the comparison advantages of China’s service trade.This paper will present the development situation of service trade both in world and China in order to indicate:Although China has made great breakthroughs in the service sector and trade development in recent years and become the fourth country in terms of total services exports of the world, the service trade itself is still lack of comparative advantage comparing with those developed countries in the modern trade in services. It’s even hard for us to catch up with India. With the help of the concept of discrimination, such as trade in service, human capital, we make a good basis to discuss how human capital influence comparative advantage of service trade. By elaborating the theory of comparative advantage, we are able to explain the exact mechanism of human capital factors affecting the comparative advantage of China’s service trade including the direct impact as well as combined with technical factors, other traditional factors of production to affect the comparative advantage. The next step is to link human capital elements to comparative advantages of trade in services to explore the relationship between the specific of size and quantity from a realistic point through empirical research. The results of the empirical point of view are: human capital elements and comparative advantages of China’s service trade have a strong positive relationship, especially in affluent level of human capital will largely the decision of the comparative advantage in terms of service trade advantage or disadvantage. Finally through the actual situation of United States and India, we will be able to offer policy recommendations for the improvement of human capital elements in order to improve our comparative advantage in trade in services level.By analyzing the theoretical, empirical and case, conclusions come as following:(1) under the huge size of China’s trade in services, there is a huge trade deficit. The accounting of traditional trade is too large when modern service trade is underdevelopment;(2) the accumulation of human capital elements makes great contribution to enhancing the comparative advantage. It will promote the development of China’s service trade by direct or indirect way.(3) We should try to learn the experience of the US and India to improve the education system to promote the free flow of human capital, to accelerate the accumulation of human capital and to improve the overall quality of human capital. when all these measures could be done, the situation of China’s service trade may make a great progress. |
