The Development Of China's Manufacturing And The Study On The Comparative Advantage Trap

Since reform and opening up, China's comparative advantages and to developlabor-intensive industries and resource-intensive industries, from the enormouseconomic success of our country laid the foundation of economic power. But Chinahas also become the world's factory, with a steady wage labor force increased up todouble the world price of raw materials, China's comparative advantage of labor andresources of other countries have been gradually replaced, at the same time because ofthe huge scale of labor and industry, making industry is very difficult transition.Neglected because of the dynamics of comparative advantage, there is no comparativeadvantage based on dynamic adjustment of industrial development strategy, Theimpoverishment growth situation of China appears, and there is the comparativeadvantage of a possible trap.Chapter 1 is the preface of the thesis, dissertation mainly introduced thebackground and significance of topics, as well as the comparative advantage theory ofliterature review. Put forward the academic theory of comparative advantage of twodiametrically opposite views.Chapter 2 introduces the concept of comparative advantage and the type of traps,including the comparative advantages of the causes of the trap to study thesignificance. Two different elements will have different interests. Exporter ofmanufactured goods than the export of primary products can bring greater benefits,and in manufactured goods, the technology and capital-intensive exports in generallabor and resource-intensive than exports to big benefits. Third, the reality of themarket structure of international trade theory of comparative advantage so that thepremise of perfect competition market problems.Chapter 3 of China's strategic shift to the manufacturing sector, that is, by relyingon traditional comparative advantage to competitive advantage cultivate an analysis ofchange, focused on the connotation of the theory of competitive advantage and theChinese manufacturing industry, as well as the major determinant of development of the manufacturing industry experienced the different stages of development. Onearticle pointed out that the root causes of the rise and fall of the country lies in theinternational market can gain a competitive edge, and a country's competitive edge onperformance that is at the micro-enterprises, industry, competitive advantage on theperformance at the macro level for the development of productive forces on the edge.From a macro point of view, the country's competitive advantage comes mainly fromfactors of production, domestic demand, related and supporting industries, as well ascorporate strategy, structure and competition with the four basic factors, as well astwo auxiliary factors and opportunities. Section II in accordance with internationalcompetition in the four basic factors of the different role from the stage ofdevelopment of national competitive advantage theory. The development of nationalcompetitive advantage can be divided into four stages: stage elements to promote thecapital to promote stage, innovation-driven stage of phase and property to promote.Chapter 4 is mainly through research in the development of China'smanufacturing industry, and the Chinese comparative advantage of the manufacturingindustry at present and a competitive disadvantage. The rapid development of China'sforeign trade in the status of world trade has been rising. Manufactured goods in totalexports continue to improve the proportion of China is the world's productionbase.Studied the problems faced by China's manufacturing industry: laborproductivity and low industrial Added value rate; of serious low-end of the industrialstructure; manufacturing structure is irrational;. Generally small scale manufacturingenterprises, should not effect the formation of scale; deteriorating terms of trade havetrends; China's manufacturing industry and education in scientific and technologicalinnovation mechanism and long-divorced from the real economy, science andtechnology development and education for enterprise development to provide limitedhelp. China's manufacturing industry in the international market on increasing thecompetitiveness of primary products in total exports declining share of manufacturedgoods share in total exports has increased year by year. Exports of changes in thestructure of industrial products. In textiles, represented by the proportion oflabor-intensive products dropped by mechanical, chemical and transportationequipment, represented by the proportion of capital-intensive products increased yearby year. Increasing capital accumulation, and create more employment opportunities.Chapter 5 of the main contents of the previous chapters on the basis of our country's manufacturing industry is facing the trap of the comparative advantages ofeconomic theory, analysis, research analysis of Chinese manufacturing may beencountered in comparing the interests of growth trap and poverty trap problem. Thischapter first analyzes the development of China's manufacturing industry'scomparative advantage in the trap. Pointed out that the advantages of China's laborresources developed by the different funds, advanced technology and managementmodels of competitive advantage, it has the advantage of a long-term existence. Infact, however, the advantage of following a hidden "trap of comparative advantage."Labor-intensive products in the exporting country, because of increased demand fordomestic labor, the labor force so as to enable the rich to become scarce, causing thewage level began to rise; and capital-intensive products of the exporting country,because of the demand for capital to become rich caused by lower interest rates. Inthis way, through both trade, so that factor prices are becoming more and more equal,therefore, the labor cost advantage does not exist in the long-term or on the price gap.Pointed out that if a country inclined to use export to upgrade the country's economywill cause the international market to reduce export prices, worsening terms of trade,so that exports of consumer welfare than to enhance the welfare of producers toreduce, and ultimately cause a net welfare reduction in the overall country , the"impoverishment of growth." Although the cost of cheap labor in the foreseeablefuture will still be a long time in China on the manufacturing sector in theinternational market competition, comparative advantage, but this advantage willeventually be replaced by emerging countries, China's manufacturing industry is not adecisive factor for survival. Developed countries facing the same problem of domesticemployment, in order to ensure their full employment, developed a variety of hiddentrade barriers will hinder the import of cheap labor-intensive products. Section II ofthis chapter to study the development of Chinese manufacturing growth in the povertytrap.Chapter 6 puts forward China's comparative advantage to deal with at all levelsof the trap on the countermeasures and suggestions. Mainly Including To play theadvantage and disadvantage hair right after the treatment；The manufacturing sectorcan absorb the surplus labor force in large numbers, this is our country's mostpopulous country this is particularly important to give up the pursuit of comparativeadvantage of the labor force of high-end industrial development not in conformity with the laws of economic development; The development of modern manufacturingand profit growth factor from the labor-intensive investment approach, graduallychanging through increased capital investment and technical elements to achieve.China's manufacturing industry an important way to cultivate a competitive advantageis to increase the quality of labor-intensive industries and technology workforcecapital investment, improve the contribution rate of the elements of industrialtechnology, the current composition of China's manufacturing industry from lowquality of labor into labor-intensive high-quality type; Adjust the industrial structure,the implementation of brand strategy, improve market competitiveness; correctlyunderstand the source of competitive advantage of manufacturing the accumulation ofmanufacturing cultivate a competitive advantage; promote human resources to qualityfrom quantity-based transformation.