The Study Of Labor Supply Effect And Industrial Upgrading In Guangdong Province

Reform and opening up opened the "comparative advantage" door that improved China's economic growth, a large number of labor supply and the continuing transfer of rural surplus labor force promoted China's economic growth. Guangdong Province as the first window to implement reform and open policy, it be affected especially profound by the labor factor. To study the impact of labor factor on the Guangdong Provincial Economic and Industrial Development has some theoretical and practical significance.For the in-depth analysis of economic development and upgrading industrial structure in Guangdong Province, this paper decomposed the labor supply to the vertical effects of the labor supply (the impact of labor quality improvement) and the level of labor supply effects (increase in the number of labor).Two effects were investigated from the theoretical to the economic growth of Guangdong Province and the industrial structure of the path. This paper argues that the level effects of labor supply is decided by China's dual economic structure, the vertical effects of labor supply of is decided by level of education and nutrition. As China's huge rural population, making the dual economic structure in China a long time, and thus after the reform and opening up, Guangdong Province mainly affected by the labor force effects, the labor-intensive industries in Guangdong Province for the sustainable development.Along with rising levels of education in our country, Arising a conflict between Labor-intensive industries and improve the quality of labor in our country. On the other hand, although the increase of human capital stock, but the creative talents, scientific research, management personnel are still relatively insufficient, or the quality is not high, still can not be upgraded to support labor-intensive industries.This article uses the empirical method to analyze the vertical effect of labor supply and horizontal effects on the economic development of Guangdong Province. The Conclusion is that the function of labor force to the economic development of Guangdong Province is getting lower and lower, while the vertical effect has already begun to appear. This article concludes that the economic development of Guangdong Province can not remain on extensive Development in the long term as a large number of labor supply, but should inhibit the level of labor supply effect to promote the vertical effects of the labor s play a role. Through increased labor wages to change w/ r value (the price of labor and capital price ratio), as well as through education and training to enhance the amount of human capital of Guangdong, to promote natural resources to enhance and thereby upgrade the industrial structure and economic development of Guangdong Province.