The Analysis Of Demonstration About The Problems Of China's Trade In Service

Since the 1980s, as the emphasis of world economy have been leaning to service industry, trade in service is developing rapidly in the process of integration of world economy. The mean annual increasing of import and export of the trade in services in the world exceed goods trade, and it becomes the important part of the international trade. At the same time, the《General Agreement on Trade in Services》which has been passed by Uruguay Round of GATT indicates that the content and the construction of the contemporary trade have been an important development. China joined into the WTO at the end of 2001; it presupposed that Chinese service market will merge into the international service market gradually. In the face of international competition, China should act pursuant to the multilateral rules of WTO to open the service market and enter the lists which is the market of international service transactions. Therefore, it is of great significance to study china's competitiveness of service transactions.There are so many conceptions about the trade in service, but in this thesis, I completely approve the concepts of GATS, which is about the service transactions. So firstly, this thesis elaborates the basic concept of the trade in service, including the definition, classification and characteristics of the trade in service. Then it applies separately the traditional comparative advantage theory and competitive advantage theory into the domain of the trade in service as the basic theory of the studies on international competitiveness of trade in service, and then we can discover that the comparative advantage based on the perfect competition as well as the immobile factors is static advantage, while the competitive advantage based on the imperfect competition as well as the mobile factors is dynamic advantage. Comparative advantage is the precondition to gain the competitive advantage, and the competitive advantage is able to transform the potential comparative advantage into the realistic one. Both of the comparative and competitive advantages are indispensable to improve the competitiveness. The service trade competitive ability profoundly affects the national competitive ability which requires us to pay more attention to service trade competitive power. The national competition superiority or the industrial competition superiority is mainly decided by the element of production, the demand condition, the support of related industries, the strategy of enterprise organization and the government function which are according to Michael Porter's theory on national competition superiority. This theory applies us a new angle to the study on service trade and opens up the research field.After using the accurate data and the vivid graph to analyze the present situation of the trade in service of our country (including the overall, tendency and the structure aspects), we can see that although the whole development level of Chinese service trade has obtained rapid development, it is not high, and it doesn't conform to the Chinese national economy. Chinese service trade occupies a quite low share in world service trade compared with the industrialized countries. Furthermore, the service trade and the commodity trade have not been able to achieve the synchronized development which will hamper the development of commodity trade.In order to demonstrate the importance of developing our trade in service, I use the interrelated data from1985 to 2005, and made a model of econometrics to validate the point: firstly, there is a stable relations between China's economic growth and the trade in service, spatially the export trade plays an important role in driving the economic growth. Secondly, the export trade in service can enhance the rate of employment in the field of service.More importantly, this thesis makes a quantitative analysis on the international competitiveness of china's trade in service. Through the comparison of the coefficients about the international competitiveness, it can be seen that china's trade in service is generally at a disadvantageous position, particularly those new-type service industries, such as the capital-intensive type and the technology-intensive type in which the disadvantages are more obvious, while the traditional service industries are only at a minor comparative advantage.According to the analysis results and Michael Porter's theory on national competitive superiority, we should make out the strategy to improve international competitive power in service trade of our country: On the one hand, we should take full advantage of the comparative advantage to promote the level and the structure of the service industry in our country; On the other hand, competitive advantage should be fully used to enhance the international competitiveness on trade in service from the macroscopic, central and microscopic view to obey the rules that"comparative advantage—advanced comparative advantage—competitive advantage".