China's Industrial Products Export Growth Miracle And The Rural Surplus Labor Migration

China's reform and opening up is composed of two main topics:the process of industrialization and urbanization, and China's external economic ties with other countries. In the past 30 years, China's industrialization and urbanization achieved great success. China transformed from an agricultural country into a world-class manufacturing plants. However, China's dual economic structure features are still obvious. A lot of surplus agricultural labors need to be transferred. The transfer of surplus labor is critical to China's industrialization and urbanization, and thus become the core of the reform process; As to opening up, China has been deeply embedded in the world economic network, and achieved the miracle of high growth of industrial exports. Rapid growth of industrial exports and continued trade surpluses caused widespread concern. Especially after the 2008 financial crisis, in the context of the growing trade friction and expected appreciation of the RMB, will China's export miracle continue? This suddenly becomes the focus of discussion.Under the hypothesis of agricultural surplus labor, the paper researches the relationship between surplus labor migration and industrial products export growth, and thus reveals the inner connection of China's reform and opening up. Firstly, combined the new trade theory and Harris-Todaro model, it sets up a model contains both surplus labor migration and industrial products export growth. The paper probes the causes of China's industrial products export miracle from the view of labor migration, and divides the effects of migration into three aspects:variety effect, substitution effect, and income effect. Taken together, the comprehensive effects of labor migration can lead to the increase of industrial export of the country with labor migration. Later, unemployment is taken into consideration and the model is developed further. After the theoretical analysis, an empirical study based on VAR model is set to check the theory and reveal the numerical relationship between industrial products export and labor migration. In the end, the conclusion and suggestions are drawn.