The Study Of Comparative Advantage In Service Trade In China

With the adjustment of world industrial structure, service industry is developing by leaps and bounds, thereby promoting rapid growth of service trade. Service trade is more and more outstanding in the heavy position of international trade. Developing service trade has already become an important approach by which the countries in the world can realize economic growth. Since China's entry to the WTO, the opening of service industry and the development of service trade become very important. So we research the comparative advantage of service trade in China at present has important realistic meanings for adjusting our industry construction, enhancing our international competitive capability.Now the study on service trade done by western economists mostly focus on the comparative advantage. Most of scholars put forward that service trade also has comparative advantage, under some conditions, the traditional comparative advantage theory adapts to service trade. But because there are many differences between goods and services, goods trade and service trade, we can't apply mechanically the traditional theory to service trade.This paper does research on the dynamic change and determining factors of comparative advantage in service trade. On this basis, it makes empirical analysis on the current situation in China, and discovers that: Our country has comparative advantage in traditional service sectors with low-tech and labor density but it is not evident, while no comparative advantage in modern service sectors with high-tech and human capital density. Therefore, we are necessary to search for an effective way to change the current situation. The dynamic characteristic of comparative advantage in service trade and the practice in India which is a developing country both prove that comparative advantage can be cultivated at a later stage, and human capital is the key to realize the transformation of comparative advantage in service trade of one country.Finally this article put forward a fundamental train of thought: namely developing human resources and training human capital should be carried out as a long-term strategic task for the government; our primary task at present is to further develop the service sectors with resources and labor density which have obtained comparative advantage, enlarge investment and give priority to cultivating the service sectors with technology and human capital density which have potential for development. Through the transformation which is from a lower to a higher level and from labor to human capital density, our country can realize the upgrading of comparative advantage structure, thereby enhancing the overall competitiveness in service trade.The thesis consists of four chapters in all.As an introduction, ChapterⅠexplains the topic, significance and basic methodology of this dissertation.ChapterⅡstates the foundation and background of this article. It applies the traditional comparative advantage theory to service trade, and amends the theory according to service trade's own characteristics. Then it does research on the dynamic change and determining factors of comparative advantage in service trade including the capital accumulation, technological advances, HR capital and management system of the government.ChapterⅢis the main part. Through empirical studies, it finds the characteristics and existing problems of current comparative advantage in service trade of our country. It regards the development trend of service trade of the world as a big background, combines the characteristic of Indian comparative advantage development in service trade and the enlightenment for our country, then chooses one approach which is suitable for dynamic development of comparative advantage in service trade in China.On the basis of frontal theoretic studies and empirical studies, ChapterⅣputs forward some policies and suggestions about how to cultivate comparative advantage in service trade of our country.