The Research About The Impact Of Services FDI On Employments In China's Services Industry

Based on the background of rapid growth of"Services FDI"and"Services employments",this paper attempts to find and explore the relationship between"services FDI"and"services employments". As services become to absorb surplus labor force and the main channel of labor transfer, this paper has important practical significance that is to solve the employment problem, and promote upgrading of the structure of employment.First, through a large number of theoretical literatures, the author reviewed in detail the theories of the rapid development of FDI in service sector; the rapid development of service sector employment and the theory of how FDI affect employments. The literature review is looking for the intersection between the effects of services FDI and the effective factors of employment growth in service sector, so as to provide ideas through this article about the impact of FDI on employment in services industry.Then, on the basis of relevant literature reviews, this paper analyzes the impact system of Services FDI on domestic services employment, which is an expansion and deepening of mechanism of how FDI impact on employment.In the paper, we review FDI and services employment services as economic factors from the angle of the economic system. Services FDI can influence services employments through various channel of economic elements .Services employments are the result of mutual influence by economic elements. Although the mechanism analysis of this chapter does not fully point out that how FDI affect the host country employment in services industry, but we analyze through the impact channel of FDI to employment in services industry, cosidering research results that other factors of the channel affect employment in services ,most of the chains have shown that Services FDI promote services employments.Then, with analysis of the situation in China's services FDI and services employments, using Cobb-Douglas production model and cointegration test methods, we find that Services FDI can promote employments in service sector significantly, but Services sectors'FDI have different employments effects.Finally, combining the theoretical analysis and empirical analysis, the main conclusions of this paper have two aspects:firstly ,both theoretical research and empirical studies have shown that Services FDI has promoted Services employments significantly. Secondly, the employment effects of Services sectors'FDI are very different. Due to the discrepancies between theoretical and empirical analysis, the accuracy of this conclusion is open to question. Then, based on these two conclusions ,we put forward our suggestions from the view of how to promote the inflows of Services FDI and how to regulate Services sectors'FDI.