Employment Effect Of China’s Foreign Trade

Since reform and opening up,especially after joining the WTO,China’s economy increasingly closely linked with the world economy,China’s foreign trade rapid rise,and aggregate employment increased,the employment structure has improved.But employment is still one of the main problems in China’s economic development.The 21 st century is not only the special period of make full use of advantages in human resources with the opportunity of economic globalization to revitalize the nation,but also an important period of the demographic transition and the promotion of transformation of trade growth mode.Therefore,studying the impact of foreign trade on domestic employment,providing policy advice for the development and utilization of human resources in China and transition strategy for trade development and promoting employment growth became the research goals and objectives.Under the position of foreign trade in the national economy is rising and the impact of trade on employment is growing,this paper research and analysis the impact of foreign trade on China’s employment under the condition of open economy.This paper first illustrates the relationship between foreign trade and employment,analyses the impact mechanism of foreign trade on employment.Then it describes the present situation of China’s foreign trade development and employment,and analysis long term relationship of the import,export and employment.In the empirical analysis,this paper adopts input-output model to analyze the effect of foreign trade on domestic employment,from the aspects of total employment and the three industrial sectors employment structure calculate the number of China’s foreign trade impact on domestic employment.Based the analysis,we draw the following revelations: Firstly,the employment level will be increased with the development of foreign trade.Secondly,the improvement of the structure of foreign trade will make China’s employment structure optimized,the number of employment created by China’s tertiary sector trade is rising,the improvement of foreign trade structure will contribute to the process of urbanization of our country,absorb more rural labor force.Finally,this paper presents some recommendations of developing foreign trade and promoting employment.